The 20-year-old Australian midfielder began his stint in Suffolk with a succession of games under Paul Jewell but fell out of favour and has not played for five weeks.
New Ipswich manager Mick McCarthy has let Luongo return to his parent club, admitting that he needs a "different type of player".
McCarthy told the club's website: "He's a good footballer, you'd expect that coming from Tottenham, but I need a different type of player.
"He's not been playing games and Tottenham said if he's not playing here then they will take him back."
Luongo, who has yet to make a first-team appearance for Spurs, thanked the Ipswich fans and players on Twitter.
"Thanks to all the messages from [Ipswich] fans. I really enjoyed my time as a Tractor Boy. It was a great club to have been apart of," tweeted the Aussie.
"Also wanna wish all the lads good luck for the rest of the season. Top players and top lads. #allthebest"
Luongo netted one goal in 14 appearances for the Blues.