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Iran has a longstanding connection with terrorism, in particular after the 1979 Islamic Revolution. It has been recognised as both a victim and state sponsor of terrorism, but has predominantly been accused of supporting terrorism worldwide. Iran has been accused of training, financing, and providing weapons and safe havens for non-state militant actors, such as Hezbollah and Hamas. While Iran considers such groups as national liberation movements, they are by contrast designated as terrorist groups according to other countries. At the same time, Iran has suffered from terrorist attacks, though Iranian security has proven much superior to its neighbours, such as Iraq, Syria, and Afghanistan. Regardless of claims relating to Iran as a victim or sponsor of terrorism, no official policy or document has been published by the government by way of a counter-terrorism policy because any stated policy would be subject to accountability, human rights and the rule of law. In practice, its focus is placed on the ‘War by Terror’ as an external instrument as opposed to internal ‘Counter-Terrorism’. By analysis of official documents, statements, and laws, both Persian and English sources, this article aims to clarify Iran’s counter-terrorism policy and framework, and the actual practices of Iran in the Middle East