Canadian writer Miss Atwood, 79, won the 2000 Booker Prize for The Blind Assassin and has been shortlisted several times.
It is the first time the British author, who famously lived under a fatwa following the publication of The Satanic Verses, has been longlisted for the £50,000 prize since 2008, when The Enchantress Of Florence was in the running.
Sir Salman Rushdie is up for the Booker Prize nearly 40 years after he won it with Midnight's Children.
British Indian author Rushdie was nominated for "Quichotte", an homage to Miguel de Cervantes' "Don Quixote" that's due for an American release on September 3.
"If you only read one book this year, make a leap".
The Booker Prize is open to fiction writers of any nationality, writing in English and published in the United Kingdom and Ireland.
Acclaimed British author Winterson was nominated for her "Frankissstein", about a transgender physician who falls in love with an artificial intelligence expert. The postmodern novel about a housewife in OH is written as one sentence, and is 1,040 pages long.
The majority of this year's nominees are British, which is likely to assuage critics of the 2014 policy change that opened the award to writers of any nationality. "Really - read all of them".
The victor will receive £50,000 and can expect global recognition, organisers of the prize instituted in 1969 said.
The shortlist of six books will be announced on September 3, with each author receiving £2,500 and a specially bound edition of their book.
The complete list of this year's Booker nominees is below.
University of MS student arrested in Ally Kostial's death
The University of Mississippi Interim Chancellor Larry Sparks said in a statement that the university was saddened by the death. The sheriff's department hasn't released any details about the investigation. 'She was a 2016 Lindbergh High School graduate.
Rutger Hauer, 'Blade Runner' star, dead at 75
Arguably Hauer's most famous moment on screen was his "tears in rain" monologue from Ridley Scott's " Blade Runner ". The late actor is survived by his second wife of 50 years, Ineke ten Cate, and daughter Aysha Hauer.