The actor, who worked with Nolan on the set of Inception, is said to be the first choice for the part.
"Chris really dug Joseph [as an actor]," a source told Hollywood Life.
"There was a joke at first between them that Joseph wanted to read for Batman 3 and things heated up as filming continued."
The insider added: "It's not 100% confirmed that he's getting [the role of The Riddler] but there's certainly talk about it. Joseph is definitely on the shortlist."