We travel to Meadow Park for a 12:30 start in the last 16 of the competition.
We have already been to the Gunners in this season’s Barclays Women’s Super League, losing 2-1.
That followed on from two 2-1 finishes in last term’s league campaign, with both sides winning their home tie.
The two teams are also competing at the top of the Women’s Super League table, with City in second and three points ahead of third placed Arsenal.
Ahead of this latest meeting with Jonas Eidevall’s team, Taylor believes there’s little to separate the two sets of players.
“Fine details. It always seems to be 2-1,” he said when asked how we can prevail on Sunday.
“All the other games apart form a bit of a drubbing when we had injuries, always seems to be 2-1.
“It’ll be tight, the margins are tight but we feel we have the ability to open up teams with the opportunities we create.
“It’s a tough one but our performances [against Arsenal] have been good.
“Even our fixture at the back end of last season here, it’s never easy to judge but our personnel hasn’t changed.
“We’re expecting a tough game, we’ll have to be really good but they need to be as well.
“It’s the FA Cup, a one-off game, a free hit for both teams, and both want to be there in the quarter-finals.”
Kerstin Casparij missed Wednesday night’s Continental Cup quarter-final victory over Tottenham Hotspur but Taylor says the right-back is now available for selection again.
“Unfortunately we had an issue with Kerstin on the day of the game, sore shin but she’s back training,” he said.
“Alanna [Kennedy] stepped in and did well so to see out the 90 minutes, which was important because the score was tight. It was difficult to manage that.
“Kerstin back is good and outside of that just the two players we’re missing, with Steph [Houghton] with her recent injury and Jill [Roord].
Arsenal v City app coverage
The official Manchester City app will provide detailed coverage of the FA Cup tie.
Our Matchday Centre will get under way from 11:00 (UK) and will provide detailed text commentary, stats and analysis before, during and after the game.
Short and extended highlights as well as a CITY+ full-match replay will be made available at 12:00 (UK) on Monday 12 February.