This study explores the linkages between religion, gender and nation and examines them in the context of the Islamic Republic of Iran (IRI). Contrary to popular perception, it treats that state, gender and religion - particularly Islam - are not monolithic categories and demonstrates that the relationship among them is one of dynamic interactive processes without any fixed pattern. It brings out the implications of interplay of gender, religion, class, and ideologies for negotiating the privileges and rights of women within the existing polity and power structure of Iran. Contrary to dominant Western narrative about the perpetual marginalization of women in Iran, the present work claims that contraction or expansion of women's rights and privileges depend upon the nature of political regime, strength of women's movements and socio-economic dynamics of the Iranian society.