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During the study on the specimens of Astragalus sect. Ammodendron in the herbarium of Ferdowsi University of Mashhad (FUMH), based on the last and most recent sources, two new species, i.e. A. microfoliolatus sp. nova and A. rashed-mohasseli sp. nova were found and described. Morphological evidence confirmed that the belonging of these taxa to Astragalus sect. Ammodendron. The most important differences between A. microfoliolatus and its closest relatives are leaflets with very small size and glabrescent legume. Also, the main distinctive characters ofA. rashed-mohasseli are the presence of hairs on the dorsal side of vexillum, oblong legume and short rachis. Hairy vexillum has been obseverd for the first time in this section. In addition, A. aiwadzhi is recorded as a new species for the flora of Iran. Taxonomic descriptions, illustrations and distribution maps are provided to expedite identification.