To read MIDI-clock on an Arduino one needs a galvanic separation by an opto coupler. I used a GNY17-2. Use of other ICs (6N137, 6N138 or 4N28) are also possible and the schematics can easily be found on the web.
Parts list
-Resistor 220 Ohm
-Resistor 100 kOhm
-Diode
-opto coupler IC GNY17-2
-5-pole DIN female connector (180°)
-MIDI cable
-MIDI sync master (here: Roland TR-505)
-Arduino (here: Arduino Mega. For this demo also Arduinos with less input and output channels will work)
Schematics

As MIDI clock genarator a Roland TR-505 was used.
As LED I used the SMD-LED on the arduino board. You may also connect one to PIN13 (don´t forget the resistor to ground).
For a first attempt to sync the sequencer to MIDI-clock I used the software template of littlescale. Changes were so far only made in the Sync() function.
Software
The following code lets a LED light for the first half of a bar, while it is off for the second half of the bar. Please note that the delay() function was avoided and only clock_step was used for syncronization.