The Revolutionary Guards have amassed strong power within Iran, including with significant economic interests.
Critics warn the decision, which is likely to be announced by the State Department as soon as Monday, could open US military and intelligence officials to similar actions by unfriendly governments around the world.
The threat came amid reports that the U.S. administration was considering adding IRGC to its terror list.
A former State Department official cautioned against the move.
"#NetanyahuFirsters who have long agitated for FTO (Foreign Terrorist Organisation) of the IRGC fully understand its consequences for United States forces in the region. The future ramifications of this decision will be profound", Blazakis said.
Heshmatollah Falahat Pishe, chairman of the Iran's parliament's National Security and Foreign Policy Commission, told Tasnim news agency that the Iranian parliament has prepared a motion in this regard.More news: Sanders to Appear on Fox News for Town Hall on Jobs
Iran will take reciprocal action against the United States if Washington designates the elite Revolutionary Guards (IRGC) as terrorists, a majority of Iranian parliamentarians said today, according to state news agency Irna. The MPs warned that the response will make the "the leaders of America, who themselves are the creators and supporters of the terrorist groups in the region, regret their foolish actions".
IRGC Commander-in-Chief, Major General Mohammad Ali Jafari said if Washington does so then the U-S military will no longer have calm in West Asia.
In October, Saudi Arabia and Bahrain labeled the IRGC as an organization suspected of involvement in terrorism, Reuters reported.
In 2007, the US Treasury designated the IRGC's Quds Force, its unit in charge of operations overseas, "for its support of terrorism", and has described it as Iran's "primary arm for executing its policy of supporting terrorist and insurgent groups". "The footage shows a US flying drone starts malfunctioning and makes a rough landing in a desert area 10 kilometers away from its base", Fars stated."The footage that displays the IRGC's penetration into the USA spy drone's intel has been recorded by an IRGC drone flying above the scene".