Taylor, 23 has deemed to come out of favour at Bramall lane since the appointment of Nigel Clough and despite being a named substitute in yesterday's 3-1 win over Tranmere Rovers has yet to start under the new boss and is likely to make his Jags debut in the Glasgow Derby against Celtic on New Years Day.
Partick boss Alan Archibald said: "I'm delighted to have managed to bring Lyle to Firhill, he will complement the strikers that we already have at the club. He did really well with Falkirk scoring a barrowload of goals and that earned him his move to Sheffield United.
"Things haven't work out for him with United so far which can happen when there is a change in manager, but he carries a potent threat and has a real eye for a goal. He's quick and he is good at getting in behind defenders as well. I'm sure he will prove to be an important addition to the squad for the second half of the season."