Amid speculation regarding the Welshman's future at White Hart Lane, the Portuguese manager wants the midfielder to put pen to paper for a new deal to ward off potential suitors
As Goal exclusively revealed, Spurs have placed a £70 million pricetag on Bale following enquiries by Manchester United during a season which has seen him named the Professional Footballers' Association Player and Young Player of the Year and Football Writers' Association Player of the Year.
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"It would be good for him [to sign a new contract]," Villas-Boas told reporters.
"I think he deserves it for the season he's had. Obviously we could put to bed every single speculation that's coming out.
"It would be excellent and I think a reward for what he has achieved this season."
Bale is contracted to Spurs until 2016 and has scored 30 times for club and country this campaign.