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The US is yet to formally confirm it has responded. However, Trump reportedly told Israel's Kan News it was unacceptable.
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Iran's foreign ministry spokesperson said the response, delivered via Pakistan, was now being reviewed, according to Tasnim news agency.
The US is yet to formally confirm it has replied to Tehran. However, President Donald Trump reportedly told Israel's Kan News on Sunday that the proposal was unacceptable to him.
Iranian state media said Tehran's 14-point peace plan asked Washington to withdraw its forces from near Iran's borders, end its naval blockade of Iranian ports, and for all hostilities to cease - including Israel's offensive in Lebanon.
It also called for an agreement between the two countries to be reached within 30 days.
Iranian state media added the proposal urged the two warring sides to focus on "ending the war" rather than extending a current ceasefire.
Iran's Foreign Ministry spokesman Esmaeil Baghaei was quoted by state media as saying that "at this stage, we do not have nuclear negotiations" - a key demand by Washington.
Iran has repeatedly denied it is seeking a bomb and says its programme is only for peaceful purposes, though the country is the only non-nuclear-armed state to have enriched uranium at near weapons-grade level.
On Sunday, Trump announced that the US would help countries with ships stranded in the Strait of Hormuz.
"For the good of Iran, the Middle East, and the United States, we have told these Countries that we will guide their Ships safely out of these restricted Waterways, so that they can freely and ably get on with their business," he said in a post on social media without specifying which countries.
Trump said the process, which he called "Project Freedom", would start on Monday, adding if it was interfered with the interference "will have to be dealt with forcefully".
Iran has severely limited traffic through the strait sin
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