The Wales-based Manxman will drive a WRC Mini owned by Derek McGarrity on round four of the Irish Tarmac championship.
Higgins has been one of the most successful drivers for the past decade but in recent times has turned increasingly to film stunt work.
He was one of the drivers in the spectacular car scenes in Quantum of Solace and has just returned from Turkey where he was working on the latest James Bond movie, Skyfall.
Details for the Donegal appearance are still being worked out but it is planned that Higgins will team up with his old British championship-winning co-driver Rory Kennedy to drive a Prodrive Mini for the first time.
They finished second behind Andrew Nesbitt in a Mitsubishi one-two in 2006 and were second again the following year when Sebastien Loeb took his memorable victory ahead of Rally Ireland.
Indeed, Higgins led the World champion by nearly 40 seconds at the end of the first leg.
“You could say Mark and I still have some unfinished business in Donegal so it would be great to get another chance to set the record straight,” said Kennedy who was a three-time winner of his home international with Bertie Fisher.
McGarrity, meanwhile, will switch to last year’s Donegal winning car, the Tim McNulty S12C Subaru.
Reigning Tarmac champion McNulty, who trails leader Darren Gass by 46 points in this year’s series, is now expected to sit out the rest of the season.
Full details of the three-day Donegal event will be announced in Letterkenny tonight.