The League One side recently sacked Liam Manning as their manager and have been conducting an extensive search for his replacement.
MK Dons have zeroed in on Leeds coach Jackson and, following the completion of their process, have now decided to appoint him.
The coaching exodus from Leeds will not stop at Jackson though as MK Dons are expected to appoint two staff members from Elland Road to assist their new boss.
It is unclear who MK Dons will go for, but Jackson will have familiar faces from Leeds at his side.
The compensation to be paid to Leeds for Jackson is considered to be a formality.
And the appointment being finalised now appears to only be a matter of time.
Jackson will take over a side sitting third from bottom in the League One table and it remains to be seen if he tries to sign players from Leeds in the January transfer window.
