Washington took a shot on Spence earlier this season after he was waived by the Buccaneers during roster cuts, but this ends his time with the team.
To take his place on the active roster, Washington promoted LB Carroll Phillips from the practice squad.
Spence, 25, is a former second-round pick of the Buccaneers back in 2016. He was entering the final year of his four-year, $6.03 million contract and set to make a base salary of $1.27 million for the 2019 season when the Buccaneers waived him coming out of the preseason.
The Bears and Bills brought Spence in for workouts before he eventually signed with the Redskins in September.
In 2019, Spence appeared in seven games for the Redskins and recorded three tackles and one sack.