The 25-year-old Harlequins player was arrested by West Yorkshire Police officers following an alleged incident in Leeds in the early hours of Sunday March 4.
Care has already accepted a police caution for being drunk and disorderly on that night after he was arrested for urinating outside the city's landmark Queens Hotel.
He was questioned again earlier this month in connection with the alleged sex assault on the woman.
The player has now been bailed pending further inquiries.
His club said he denies the allegation.
A spokesman for Harlequins said: "Danny Care was asked to report to West Yorkshire Police in Leeds to answer further questions about the incident that took place in the city on 3 March.
"On March 15 Danny attended Leeds Police Station voluntarily by appointment to assist the police with their enquiries. He denies the allegations made against him.
"Harlequins are fully aware of all the facts and will continue to support Danny as he addresses this situation."
A West Yorkshire Police spokesman said: "A 25-year-old man, from Surrey, was arrested in connection with a sexual assault on a woman in Leeds in the early hours of Sunday, March 4.
"He has been bailed pending further enquiries."
Care has now been arrested four times in a little over three months. The first incident came in the early hours of December 10, after Harlequins' Heineken Cup defeat to Toulouse, when he was arrested and fined by police for being drunk and disorderly in Weybridge.
Care was banned from driving for 16 months and fined £3,100 after being arrested for drink driving in the early hours of New Year's Day.
That incident led to Care being excluded from England's Six Nations championship campaign by interim head coach Stuart Lancaster.
Care was also fined £10,000 by Harlequins, on top of the undisclosed fine he received following his first arrest in December.
Lancaster warned Care he risked wasting his international career after he was cautioned by British Transport Police for urinating outside a Leeds hotel.
Care blamed the incident on a "small bladder" rather than "excessive drinking".
The England coach said on March 5: "I'll be meeting him as soon as possible about the decisions he's making and how it's affecting his chances of coming back and playing for England.
"We need to do that to make sure we rebuild the trust."