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's invitation for talks later this month in Washington, a "surprised" White House said Monday.
The episode was just the latest sign of frosty relations between the two leaders on the eve of US Vice President
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's visit to Israel.
An Obama aide said the Israeli government had requested a meeting to take place on March 17 or 18, and the White House had responded selecting the latter date two weeks ago.
"We were looking forward to hosting the bilateral meeting, and we were surprised to first learn via media reports that the prime minister, rather than accept our invitation, opted to cancel his visit," said National Security Council front man Ned Price.
"Reports that we were not able to accommodate the prime minister's schedule are false."
Israel and the United States have been seeking to move past deep disagreement over the Iran nuclear accord, which Netanyahu strongly opposed, and work out a new 10-year defense aid package.
The current deal grants Israel some $3.1 billion annually, in addition to spending on other projects such as missile defense.
Netanyahu's visit in Washington would have coincided with the annual conference of pro-Israeli lobby AIPAC in which he has previously participated.
Vice President Joe Biden is due to start a visit to the occupied territories on Tuesday. The White House said on Friday that Biden would not be pursuing any major new peace initiatives between the Zionist entity and Paleostine during his visit.