The study aimed at investigating the effect of Artisanal Small- scale Mining activities on livelihood status in rural communities in Tanzania - a case of Lwamgasa ward, Geita region. It basically intended to find out the types of Artisanal Small-scale mining activities, to determine the status of livelihood of rural communities and to assess long term intervention for Artisanal Small-scale miners. The study employed a mixed method approach to have a better understanding of the relationship between variables in the research problem. The study employed a descriptive research design as it describes the nature of a situation as it exists at the time of the study. The study surveyed 93 miners in the Lwamgasa ward using a combination of self-administered and personal assisted questionnaires. The data from the field were analyzed using simple descriptive statistics methods such as cross tabulation and frequency distribution tables. Phi-test measure, Cramer's V and Chi-square were applied to measure the correlation of the variables with the help of Statistical Package for Social Science (SPSS) (Pallant, 2005) and data were presented in form of tables, bar graphs, and bar charts. The study revealed that ASM activities provide the main source of livelihood to majority of people in Lwamgasa ward. However, most of the ASM activities are carried out on seasonable basis especially in non-farming season. Overall, miners have continued to remain poor as a result of poor skills in managing their income. To improve livelihood in terms of income and food security in the mining communities, the government, the miner‟s associations together with other stakeholders should develop a suitable policy framework to curb this challenge. It is also recommended that livelihood of miners could be improved by teaching sustainable mining techniques to reduce health and safety, risks, and creates a forum to train miners about financial management and diversification of their economic activities so as to achieve sustainable livelihood.