The chilling picture shows the singer lying dead in her golden casket, clad in a regal purple dress and wearing what looks like a diamond brooch and earrings.
The weekly magazine has run the snap alongside a bold headline
proclaiming: "Whitney: The last photo!"
It is understood the photograph was taken inside the Whigham Funeral Home in Newark, New Jersey, where her family attended a private wake last Friday (local time) on the eve of her funeral.
The magazine claims the photo was taken at the private viewing - although does not reveal who took the picture.
Carolyn Whigham, the owner of the Whigham Funeral Home, "I have spoken with the family about this and they have asked me not to comment on the matter."
Whitney - who died aged 48 on February 11 - was wearing jewels worth $500,000 and had gold slippers on her feet, according to the publication.
The image - which was published in today's edition - has stirred a strong reaction on Twitter, with people expressing their shock.
'#wrong #rip,' wrote one Twitter user named as The Bitter Critter.
Another user of the social networking site, Eric S Pittman, simply exclaimed 'Oh dear' while tweeter Peter Anthony Holder wrote: 'No privacy for Whitney, even in death. As usual, the National Enquirer is a piece of work.'
The singer's funeral took place on Saturday (Sunday AEDT)and was attended by stars including Mariah Carey, Oprah Winfrey and her co-star from The Bodyguard, Kevin Costner.
Houston was laid to rest the following day in a burial service attended by close family and friends.
She was found dead in the bathtub of her fourth-floor hotel suite at the Beverly Hilton hotel on the eve of the Grammy Awards.
The official cause of death is yet to be revealed, pending the release of toxicology reports - which could still be several weeks off.
However, there has been speculation that the troubled star - who endured a long battle with drugs - died as a result of a deadly concoction of prescriptions drugs and alcohol.
Yesterday, RadarOnline reported Whitney had a mixture of Valium, Xanax and alcohol in her system when she was found at the Beverly Hilton.
"Whitney had taken Valium, Xanax, and alcohol, which led to her death," a source close to the situation told the website.
"The coroner is waiting on final toxicology results to determine which one of the three was the major contributing factor of her demise.
"The coroner will be closely examining Whitney's blood alcohol content at the time she died as well. The sedatives and alcohol will almost certainly be the cause of death, and not drowning.
"Her heart stopped beating because her respiratory system was suppressed because of the anti-anxiety meds, and combined with the booze it probably happened very quickly before she was found partially submerged in the bathtub."