The term's use has provoked controversy recently due to its perceived anti-semitic nature and a crackdown is planned for the two sides' meeting at White Hart Lane
Spurs supporters' use of the term to describe their team is subject to intense debate, with prime minister David Cameron recently contradicting both the FA and those Jewish groups who suggest that the term is always offensive.
Tottenham and Chelsea both issued warnings before their meeting on September 28 that fans found guilty of "anti-semitic abuse" would be ejected from the stadium and the police have taken similar measures in anticipation of Sunday's potentially fractious derby.
A Police statement read: "Some words - like the 'Y' word - which historically have been perceived by some as acceptable, cause harassment, alarm or distress to others and people who use this language could be committing a criminal offence."
Chief Superintendent Mick Johnson, the match commander on Sunday, added: "This topic has been debated at length but our position is clear: Racism and offensive language have no place in football or indeed in society.
"Those supporters who engage in such behaviour should be under no illusion that they may be committing an offence and may be liable to a warning or be arrested."