Jaydeepsinh Parmar was held on Friday based on the dying declaration given by the victim, Chatur Solanki, before a magistrate, they said.
The incident occurred on Friday at the house of Solanki in Muli taluka area, police said.
According to police, Solanki said Parmar and his three friends, all belonging to an upper caste, entered his house and set him on fire. However, he did not assign any motive behind the attack.
A senior district police official, however, said there were contradictions in the victim's declarations made before the doctor and the magistrate.
The officer refused to comment on what prompted Solanki to give contradictory statements, saying the matter is under investigation.
Parmar and three others were booked under section 302 (punishment for murder) of Indian Penal Code and Scheduled Castes and Scheduled Tribe (Prevention of Atrocities) Act.
Police said Parmar's three friends have not been arrested so far.
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