A Professional Football Compensation Committee has instructed Liverpool to pay Burnley an initial £6.5m transfer fee for Danny Ings's services.
On top of that, the Merseysiders may have to fork out an extra £1.5m in add-ons, which is dependent upon player performance.
It means that in total, the striker could end up costing Liverpool as much as £8m - a record figure set by an English tribunal for an out-of-contract player under the age of 24.
"Today's result is a fair and accurate reflection of the enormous contribution Burnley FC has made in helping develop and nurture one of the brightest young talents in the Premier League," said lawyer Dan Lowen, who was acting on behalf of Championship side Burnley.
In a further statement, Liverpool added: "Liverpool Football Club would like to thank the PFCC panel for their time and diligence in deciding this matter. We believe the process was conducted fairly and we respect the outcome.
"We are pleased for Danny Ings, in particular, that this chapter is now complete and he can look forward to a long and successful career at Liverpool."
Ings scored three goals in eight outings for the Reds before his season was cut short by a cruciate ligament injury.
