Andre Villas-Boas says Tottenham are happy to co-operate with the Football Association over the governing body's worries surrounding "Yid" chanting.
The FA issued a statement on Monday warning fans that the use of the word "Yid" at football grounds could result in a criminal conviction or a banning order.
Opposing fans cruelly use the term as a means of abuse towards Tottenham, who have strong links with the Jewish community.
As a means of defiance Spurs fans have coined the term "Yid" and often describe themselves as the "Yid Army" or "Yiddos".
Despite this, the FA still says that the use of the word could be termed offensive.
Tottenham issued a statement on Wednesday promising to consult with fans and the FA over the matter and Villas-Boas backed the club's stance on Thursday.
"The club has issued a statement that is strong and shows intent to co-operate with the FA regarding the use of the word," the Spurs manager said.
Villas-Boas also backed Tottenham's assertion that the word is used as a "defensive mechanism" which "deflects" the anti-Semitic abuse they have had to endure for many years.
"It's understandable our fans don't use it in a negative way," he said.
"It's something they chant with pride and it's very difficult to differentiate the wrong and the right of what they do.
"Because of that the FA has come out with a statement of intent. The club are showing signs of co-operation.
"It's a sensible situation for Spurs fans, but I'm pretty sure they don't use it in a negative way."
Last season the Society of Black Lawyers threatened to report any fan at White Hart Lane - whether in the home or away end - to the police if they chanted the Y-word.
Spurs fans - some of whom were targeted in racist attacks in Europe last season - responded by continuing to chant the term throughout their games.