The bill would ban TikTok in the United States if its owner ByteDance fails to divest the app over the next nine months
The daily said Google was in the early stages of development of the app, which will not make it mandatory to use a Google login.
If launched, the mobile app will compete in the mobile chat space with the likes of WhatsApp, Line and Hike.
The Mountain View, California-based company is also looking at localisation, by adding Indian language support and voice-to-text messaging, the newspaper said.
A Google spokeswoman said the company did not comment on speculation.