A rash is a change in the appearance of your skin. Most rashes make you look like you are covered in little red dots. Some rashes are raised, some are blistery, still others are flakey. There are lots of different kinds of rashes and even more possible causes, so if you have a rash that is very bad or won't go away, see your Doctor.
A scar is a mark on your skin that shows where it has healed after it was damaged. Scar tissue can also form inside you if you have an internal injury. The man in the picture has a scar from donating a kidney.