The Uruguay striker believed the bid would activate a release clause in his contract, something rejected out of hand by the Anfield club.
Suarez has made it clear he wants to leave and, in a wide-ranging interview, complained of what he saw as broken promises from Reds manager Brendan Rodgers.
The 26-year-old - currently serving a domestic 10-game ban imposed by the Football Association for biting Chelsea's Branislav Ivanovic at the end of last season - could yet force the situation by handing in a formal transfer request, or even asking the Premier League to intervene over the interpretation of the now infamous get-out clause.
However Taylor – who has read the contract - said the clause does not bind the Anfield club to a transfer.
"If you are going to have a supposed buy-out clause it should be that, but it is different as it says if there is no qualification for the Champions League and if there is a minimum offer of £40 million then the parties will get around the table to discuss things - but it does not say the club has to sell,” he told the Press Association.
"It quite clearly states £40m is a minimum offer for discussions, but it becomes really difficult with such clauses.
"There is a 'good faith' clause in relation to serious discussions but I can't say it is cast-iron buy-out clause.
"Luis is one of our members and we want to be supportive. However, he may well have thought such an offer would trigger a move.
"The interpretation is not that simple by any means and there is no guarantee of getting a (successful) result if it is referred to the Premier League.
"I just feel like in any other transfer it is better for both parties to get around the table to try to resolve it.
"You are hoping the club say 'If you are determined to go this is the figure we are looking at but if you are prepared to stay another year and you still want to go we will accept this much'.
"At the moment it is certainly festering and I don't think it is a good situation for the player or the clubs involved.
"It is not edifying and that is why I feel we had to do our best to get round the table and see if there are grounds for consideration for the move but it (the clause) is not specific and 100% certain.
"We are in touch with both parties to try to see if some resolution can be achieved that is satisfactory to both sides."
Arsenal face a race against time to sign Suarez ahead of their Champions League play-off, with manager Arsene Wenger admitting earlier on Wednesday that the transfer bid was "on standby".
The squad list must be registered with UEFA by 11pm on Monday, August 12, leaving little time for the finer details of what has become the summer's most protracted transfer saga to be thrashed out.