The row erupted two years ago when John said Michael appeared to be in a "strange place," wasting his talent by staying at home and shunning the limelight.
Michael later complained that harsh media treatment of his private life started after John's adverse comments.
But Elton John was all sweetness and light on Friday, telling ITV host Michael Parkinson: "George and I are fine. He came and stayed down my house last year. We're fine."
Putting an end to his public spat, John said "I'd rather keep my mouth shut ... It's up to him what he does with his life really and I don't really want to get into that anymore."
Michael ended years of speculation about his sexuality by announcing he was gay after he was arrested in 1998 for engaging in a "lewd act" in a public toilet in Los Angeles.
Michael, the former frontman of Wham, was arrested in February for possessing illegal drugs.
The singer, who has sold more than 80 million records with hits like "Careless Whisper," is to launch his first tour in 15 years later this month in Barcelona.