According to NFL Network's Ian Rapoport, there is a "strong indication" Cousins will play under the franchise tag for the second consecutive season.
If the Redskins and Cousins don't reach a deal by Monday, the two sides won't be able to negotiate again until next offseason.
Per Spotrac, Cousins will have the NFL's third-highest cap hit in 2017 at just under $24 million.
He performed well while attached to the franchise tag last season, throwing for 4,917 yards, 25 touchdowns and 12 interceptions in addition to rushing for four touchdowns.
If not for a Week 17 loss to the New York Giants, Cousins would have led to the Redskins to their second consecutive playoff appearance as well.
Provided no deal gets done, the Redskins will have a few options at the conclusion of the 2017 season.
They can sign Cousins to a long-term deal at that point, franchise him for a third and final time, give him the transition tag or allow him to leave in free agency.
Regardless of how the saga plays out, Cousins figures to cash in, as the 28-year-old is coming off his first Pro Bowl season and is firmly in his prime.