Rangers Football Club's will not play in the Scottish Premier League as a "newco" company next season.
The proposal has been "overwhelmingly" rejected by a 10-to-one majority vote by the 11 other top-tier Scottish clubs at a Hampden park meeting.
An SPL spokesman said: "SPL clubs voted overwhelmingly to reject the application from Rangers newco to join the SPL."
There remains uncertainty as to which league the Gers will enter, as well as who will replace them in the SPL. Dunfermline, relegated from the division last season, or First Division runners-up Dundee are the likely candidates.
A vote will take place on 12 July, but already eleven out of the 30 Scottish Football League clubs have indicated their opposition to Rangers entering Division One.
SPL chief executive Neil Doncaster said: "There's lots of things that need to happen before that might take place.
"The SFL [Scottish Football League] clubs will be meeting again next Thursday and will be voting on that. It remains to be seen how that plays out."
The Ibrox club faced an ominous fate after eight teams in the SPL publicly confirmed they would reject the newco offer, with an 8-4 majority required.
However the absence of half of the Old Firm could have a detrimental effect on the SPL brand, with the majority of the league's commercial contracts including exit clauses for sponsors and partners.
No club has won the Scottish championship outside of Celtic and Rangers since Aberdeen in the 1984/85 season, when they were managed by Alex Ferguson.
The clauses were inserted amid speculation over the Glasgow pair moving to England or into a European league but they have proved costly after Rangers went into liquidation last month.
Rangers entered administration in February, owing £134m to unsecured creditors, and have failed to secure a buyer despite a number of interested parties.