This study aims to determine the improvement of students’ understanding of tolerance through multicultural literacy-based learning on the topic of social and cultural diversity. The research was conducted in Grade IV at SD Negeri 079 Kayu Jati with a total of 18 students, consisting of 10 male and 8 female students. This study employed Classroom Action Research (CAR). The research was carried out in two cycles, with each cycle consisting of the stages of planning, implementation, observation, and reflection. Data were collected using observation sheets, questionnaires, and documentation.The results of the study show that multicultural literacy-based learning can improve students’ understanding of tolerance in the subject of social and cultural diversity. This can be seen from the average improvement in teacher learning activities, which in cycle I reached 50% (categorized as sufficient), and in cycle II increased to 90% (categorized as very good). Meanwhile, the results of student activity observations in cycle I were 50% (sufficient), and in cycle II increased to 100% (very good). Furthermore, the improvement of students’ understanding of tolerance in cycle I reached an average of 64.79%, and in cycle II increased to an average of 86.18%.Based on the data analysis, it can be concluded that the implementation of multicultural literacy-based learning can improve students’ understanding of tolerance in the subject of social and cultural diversity in Grade IV at SD Negeri 079 Kayu Jati.