The Romanov family's extraordinary return would not threaten the rule of the Kremlin strongman but would aim to give them a role in unifying Russia.
The move proposed by Vladimir Petrov, a law maker from Putin's party, has prompted speculation that it has the Russian leader's direct approval.
Petrov also plans to introduce a law, which would be implemented by the centenary of the end of Imperial rule, which would "give the Royal family members a special status" and "stimulate their return to Russia".
The legislator has written letters to the heirs of the Romanov dynasty, which ruled the country for two centuries before the abdication of last Tsar Nicholas II ahead of two revolutions in 1917.