diff --git a/app/controllers/spree/admin/countries_controller.rb b/app/controllers/spree/admin/countries_controller.rb
new file mode 100644
index 0000000000..4314e54b37
--- /dev/null
+++ b/app/controllers/spree/admin/countries_controller.rb
@@ -0,0 +1,9 @@
+module Spree
+  module Admin
+    class CountriesController < ResourceController
+      def collection
+        super.order(:name)
+      end
+    end
+  end
+end
diff --git a/app/controllers/spree/admin/states_controller.rb b/app/controllers/spree/admin/states_controller.rb
new file mode 100644
index 0000000000..eebbee8d44
--- /dev/null
+++ b/app/controllers/spree/admin/states_controller.rb
@@ -0,0 +1,29 @@
+module Spree
+  module Admin
+    class StatesController < ResourceController
+      belongs_to 'spree/country'
+      before_filter :load_data
+
+      def index
+        respond_with(@collection) do |format|
+          format.html
+          format.js { render partial: 'state_list' }
+        end
+      end
+
+      protected
+
+      def location_after_save
+        admin_country_states_url(@country)
+      end
+
+      def collection
+        super.order(:name)
+      end
+
+      def load_data
+        @countries = Country.order(:name)
+      end
+    end
+  end
+end
diff --git a/app/controllers/spree/admin/zones_controller.rb b/app/controllers/spree/admin/zones_controller.rb
new file mode 100644
index 0000000000..5b5b9d876b
--- /dev/null
+++ b/app/controllers/spree/admin/zones_controller.rb
@@ -0,0 +1,26 @@
+module Spree
+  module Admin
+    class ZonesController < ResourceController
+      before_filter :load_data, except: [:index]
+
+      def new
+        @zone.zone_members.build
+      end
+
+      protected
+
+      def collection
+        params[:q] ||= {}
+        params[:q][:s] ||= "ascend_by_name"
+        @search = super.ransack(params[:q])
+        @zones = @search.result.page(params[:page]).per(Spree::Config[:orders_per_page])
+      end
+
+      def load_data
+        @countries = Country.order(:name)
+        @states = State.order(:name)
+        @zones = Zone.order(:name)
+      end
+    end
+  end
+end
diff --git a/app/views/spree/admin/countries/_form.html.haml b/app/views/spree/admin/countries/_form.html.haml
new file mode 100644
index 0000000000..8a2951ca9c
--- /dev/null
+++ b/app/views/spree/admin/countries/_form.html.haml
@@ -0,0 +1,14 @@
+.row
+  .alpha.four.columns
+    .field
+      = f.label :name, t("spree.name")
+      = f.text_field :name, class: 'fullwidth'
+  .four.columns
+    .field
+      = f.label :iso_name, t("spree.iso_name")
+      = f.text_field :iso_name, class: 'fullwidth'
+  .omega.four.columns
+    .field.checkbox
+      %label
+        = f.check_box :states_required
+        = t("spree.states_required")
diff --git a/app/views/spree/admin/countries/edit.html.haml b/app/views/spree/admin/countries/edit.html.haml
new file mode 100644
index 0000000000..5c46ea91ea
--- /dev/null
+++ b/app/views/spree/admin/countries/edit.html.haml
@@ -0,0 +1,16 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+- content_for :page_title do
+  = t("spree.editing_country")
+
+- content_for :page_actions do
+  %li
+    = button_link_to t("spree.back_to_countries_list"), spree.admin_countries_path, icon: 'icon-arrow-left'
+
+= render partial: 'spree/shared/error_messages', locals: { target: @country }
+
+= form_for [:admin, @country] do |f|
+  %fieldset.no-border-top
+    = render partial: 'form', locals: { f: f }
+    .clear
+    = render partial: 'spree/admin/shared/edit_resource_links'
diff --git a/app/views/spree/admin/countries/index.html.haml b/app/views/spree/admin/countries/index.html.haml
new file mode 100644
index 0000000000..285bf9d55f
--- /dev/null
+++ b/app/views/spree/admin/countries/index.html.haml
@@ -0,0 +1,27 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+- content_for :page_title do
+  = t("spree.listing_countries")
+
+%table#listing_countries.index
+  %colgroup
+    %col{style: "width: 35%"}/
+    %col{style: "width: 35%"}/
+    %col{style: "width: 20%"}/
+    %col{style: "width: 10%"}/
+  %thead
+    %tr
+      %th= t("spree.country_name")
+      %th= t("spree.iso_name")
+      %th= t("spree.states_required")
+      %th.actions
+  %tbody
+    - @countries.each do |country|
+      - tr_class = cycle('odd', 'even')
+      - tr_id = spree_dom_id(country)
+      %tr{class: tr_class, id: tr_id}
+        %td= country.name
+        %td= country.iso_name
+        %td.align-center= country.states_required.to_s.titleize
+        %td.actions
+          = link_to_edit country, no_text: true
diff --git a/app/views/spree/admin/states/_form.html.haml b/app/views/spree/admin/states/_form.html.haml
new file mode 100644
index 0000000000..9f56da37d9
--- /dev/null
+++ b/app/views/spree/admin/states/_form.html.haml
@@ -0,0 +1,9 @@
+.row
+  .alpha.six.columns
+    = f.field_container :name do
+      = f.label :name, t("spree.name")
+      = f.text_field :name, class: 'fullwidth'
+  .omega.six.columns
+    = f.field_container :abbr do
+      = f.label :abbr, t("spree.abbreviation")
+      = f.text_field :abbr, class: 'fullwidth'
diff --git a/app/views/spree/admin/states/_state_list.html.haml b/app/views/spree/admin/states/_state_list.html.haml
new file mode 100644
index 0000000000..774c447a94
--- /dev/null
+++ b/app/views/spree/admin/states/_state_list.html.haml
@@ -0,0 +1,24 @@
+#new_state
+%table#listing_states.index
+  %colgroup
+    %col{style: "width: 70%"}/
+    %col{style: "width: 15%"}/
+    %col{style: "width: 15%"}/
+  %thead
+    %tr
+      %th= t("spree.name")
+      %th= t("spree.abbreviation")
+      %th.actions
+  %tbody
+    - @states.each do |state|
+      - tr_class = cycle('odd', 'even')
+      - tr_id = spree_dom_id(state)
+      %tr{class: tr_class, id: tr_id}
+        %td= state.name
+        %td.align-center= state.abbr
+        %td.actions
+          = link_to_with_icon 'icon-edit', t("spree.edit"), edit_admin_country_state_url(@country, state), no_text: true
+          = link_to_delete state, no_text: true
+    - if @states.empty?
+      %tr
+        %td{colspan: "3"}= t("spree.none")
diff --git a/app/views/spree/admin/states/edit.html.haml b/app/views/spree/admin/states/edit.html.haml
new file mode 100644
index 0000000000..636d1d022d
--- /dev/null
+++ b/app/views/spree/admin/states/edit.html.haml
@@ -0,0 +1,16 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+- content_for :page_title do
+  = t("spree.editing_state")
+  %i.icon-arrow-right
+  = @state.name
+
+- content_for :page_actions do
+  %li
+    = button_link_to t("spree.back_to_states_list"), spree.admin_country_states_url(@country), icon: 'icon-arrow-left'
+
+= render partial: 'spree/shared/error_messages', locals: { target: @state }
+= form_for [:admin, @country, @state] do |f|
+  %fieldset.no-border-top
+    = render partial: 'form', locals: { f: f }
+    = render partial: 'spree/admin/shared/edit_resource_links'
diff --git a/app/views/spree/admin/states/index.html.haml b/app/views/spree/admin/states/index.html.haml
new file mode 100644
index 0000000000..57035c79af
--- /dev/null
+++ b/app/views/spree/admin/states/index.html.haml
@@ -0,0 +1,16 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+- content_for :page_title do
+  = t("spree.states")
+
+- content_for :page_actions do
+  %li#new_state_link
+    = button_link_to t("spree.new_state"), new_admin_country_state_url(@country), { remote: true, icon: 'icon-plus', id: 'new_state_link' }
+.field.row
+  = label_tag :country, t("spree.country")
+  - databaseurl = "#{admin_states_path(format: :js)}?country_id="
+  %select#country.observe_field.select2.fullwidth{"data-base-url" => databaseurl, "data-update" => "#state-list"}
+    = options_from_collection_for_select(@countries, :id, :name, @country.id)
+= image_tag 'select2-spinner.gif', plugin: 'spree', style: 'display:none;', id: 'busy_indicator'
+#state-list
+  = render partial: 'state_list'
diff --git a/app/views/spree/admin/states/new.html.haml b/app/views/spree/admin/states/new.html.haml
new file mode 100644
index 0000000000..f7b988b24c
--- /dev/null
+++ b/app/views/spree/admin/states/new.html.haml
@@ -0,0 +1,12 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+= render partial: 'spree/shared/error_messages', locals: { target: @state }
+
+- content_for :page_title do
+  = t("spree.new_state")
+
+= form_for [:admin, @country, @state] do |f|
+  %fieldset
+    %legend= t("spree.new_state")
+    = render partial: 'form', locals: { f: f }
+    = render partial: 'spree/admin/shared/new_resource_links'
diff --git a/app/views/spree/admin/states/new.js.erb b/app/views/spree/admin/states/new.js.erb
new file mode 100644
index 0000000000..4f8226e695
--- /dev/null
+++ b/app/views/spree/admin/states/new.js.erb
@@ -0,0 +1,2 @@
+$("#new_state").html("<%= escape_javascript(render :template => 'spree/admin/states/new', :formats => [:html], :handlers => [:erb]) %>");
+$("#new_state_link").parent().hide();
diff --git a/app/views/spree/admin/zones/_country_member.html.haml b/app/views/spree/admin/zones/_country_member.html.haml
new file mode 100644
index 0000000000..f09ba19efc
--- /dev/null
+++ b/app/views/spree/admin/zones/_country_member.html.haml
@@ -0,0 +1,4 @@
+%li
+  = f.hidden_field :zoneable_type, value: 'Spree::Country'
+  = f.collection_select(:zoneable_id, @countries, :id, :name, {include_blank: true}, {class: 'select2 fullwidth'})
+  = remove_nested f
diff --git a/app/views/spree/admin/zones/_form.html.haml b/app/views/spree/admin/zones/_form.html.haml
new file mode 100644
index 0000000000..3fae4a2ee6
--- /dev/null
+++ b/app/views/spree/admin/zones/_form.html.haml
@@ -0,0 +1,23 @@
+.alpha.six.columns
+  %fieldset.no-border-bottom
+    %legend{align: "center"}= t("spree.general_settings")
+    = zone_form.field_container :name do
+      = zone_form.label :name, t("spree.name")
+      %br/
+      = zone_form.text_field :name, class: 'fullwidth'
+    = zone_form.field_container :description do
+      = zone_form.label :description, t("spree.description")
+      %br/
+      = zone_form.text_field :description, class: 'fullwidth'
+    .field
+      = zone_form.check_box :default_tax
+      = label_tag t("spree.default_tax_zone")
+    .field
+      = label_tag t("spree.type")
+      %ul
+        %li
+          = zone_form.radio_button('kind', 'country', { id: 'country_based' })
+          = label_tag :country_based, t("spree.country_based")
+        %li
+          = zone_form.radio_button('kind', 'state', { id: 'state_based' })
+          = label_tag :state_based, t("spree.state_based")
diff --git a/app/views/spree/admin/zones/_member_type.html.haml b/app/views/spree/admin/zones/_member_type.html.haml
new file mode 100644
index 0000000000..633067fabc
--- /dev/null
+++ b/app/views/spree/admin/zones/_member_type.html.haml
@@ -0,0 +1,11 @@
+= javascript_tag "var #{type}_member='#{generate_template(zone_form, :zone_members, {:partial => type + "_member"})}';"
+
+.omega.six.columns{id: "#{type}_members"}
+  %fieldset.no-border-bottom
+    %legend{align: "center"}= t("spree.type")
+    %ul.member-list.fields{id: "ul-nested-#{type.dasherize}"}
+      - members_of_type = zone_form.object.zone_members.select { |member| member.zoneable_type && member.zoneable_type == "Spree::#{type.camelize}" }
+      = zone_form.fields_for :zone_members, members_of_type do |member_form|
+        = render partial: "#{type}_member", locals: { f: member_form }
+    .field.align-center
+      = button_link_to t("spree.add_#{type}"), "##{type}_member", { icon: 'icon-plus', id:"nested-#{type.dasherize}" }
diff --git a/app/views/spree/admin/zones/_state_member.html.haml b/app/views/spree/admin/zones/_state_member.html.haml
new file mode 100644
index 0000000000..4b917288a7
--- /dev/null
+++ b/app/views/spree/admin/zones/_state_member.html.haml
@@ -0,0 +1,4 @@
+%li.field
+  = f.hidden_field :zoneable_type, value: 'Spree::State'
+  = f.collection_select(:zoneable_id, @states, :id, :name, {include_blank: true}, {class: 'select2 fullwidth'})
+  = remove_nested f
diff --git a/app/views/spree/admin/zones/edit.html.haml b/app/views/spree/admin/zones/edit.html.haml
new file mode 100644
index 0000000000..4ef88128bc
--- /dev/null
+++ b/app/views/spree/admin/zones/edit.html.haml
@@ -0,0 +1,18 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+- content_for :page_title do
+  = t("spree.editing_zone")
+
+- content_for :page_actions do
+  %li
+    = button_link_to t("spree.back_to_zones_list"), admin_zones_path, icon: 'icon-arrow-left'
+
+= render partial: 'spree/shared/error_messages', locals: { target: @zone }
+
+= form_for [:admin, @zone] do |zone_form|
+  %fieldset.no-border-top
+    = render partial: 'form', locals: { zone_form: zone_form }
+    = render partial: 'member_type', locals: { type: 'country', zone_form: zone_form }
+    = render partial: 'member_type', locals: { type: 'state', zone_form: zone_form }
+    .clear
+    = render partial: 'spree/admin/shared/edit_resource_links'
diff --git a/app/views/spree/admin/zones/index.html.haml b/app/views/spree/admin/zones/index.html.haml
new file mode 100644
index 0000000000..29c1cd4211
--- /dev/null
+++ b/app/views/spree/admin/zones/index.html.haml
@@ -0,0 +1,41 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+- content_for :page_title do
+  = t("spree.zones")
+
+- content_for :page_actions do
+  %li
+    = button_link_to t("spree.new_zone"), new_object_url, icon: 'icon-plus', id: 'admin_new_zone_link'
+
+= paginate @zones
+
+- if @zones.empty?
+  .no-objects-found
+    = t("spree.none")
+
+- else
+  %table#listing_zones.index
+    %colgroup
+      %col{style: "width: 30%"}/
+      %col{style: "width: 40%"}/
+      %col{style: "width: 15%"}/
+      %col{style: "width: 15%"}/
+    %thead
+      %tr
+        %th= sort_link @search,:name, t("spree.name"), title: 'zones_order_by_name_title'
+        %th
+          = sort_link @search,:description, t("spree.description"), {}, {title: 'zones_order_by_description_title'}
+        %th= t("spree.default_tax")
+        %th.actions
+    %tbody
+      - @zones.each do |zone|
+        - tr_class = cycle('odd', 'even')
+        - tr_id = spree_dom_id(zone)
+        %tr{class: tr_class, id: tr_id}
+          %td= zone.name
+          %td= zone.description
+          %td.align-center= zone.default_tax
+          %td.actions
+            = link_to_edit zone, no_text: true
+            = link_to_delete zone, no_text: true
+= paginate @zones
diff --git a/app/views/spree/admin/zones/new.html.haml b/app/views/spree/admin/zones/new.html.haml
new file mode 100644
index 0000000000..b6bac9e73b
--- /dev/null
+++ b/app/views/spree/admin/zones/new.html.haml
@@ -0,0 +1,15 @@
+= render partial: 'spree/admin/shared/configuration_menu'
+
+- content_for :page_title do
+  = t("spree.new_zone")
+
+- content_for :page_actions do
+  %li
+    = button_link_to t("spree.back_to_zones_list"), spree.admin_zones_path, icon: 'icon-arrow-left'
+
+= render partial: 'spree/shared/error_messages', locals: { target: @zone }
+
+= form_for [:admin, @zone] do |zone_form|
+  = render partial: 'form', locals: { zone_form: zone_form }
+  .clear
+  = render partial: 'spree/admin/shared/new_resource_links'
diff --git a/config/routes/spree.rb b/config/routes/spree.rb
index 94da909f8b..a06644de8f 100644
--- a/config/routes/spree.rb
+++ b/config/routes/spree.rb
@@ -88,6 +88,12 @@ Spree::Core::Engine.routes.prepend do
         put :clear_api_key
       end
     end
+
+    resources :zones
+    resources :countries do
+      resources :states
+    end
+    resources :states
   end
 
   resources :orders do
diff --git a/spec/features/admin/configuration/states_spec.rb b/spec/features/admin/configuration/states_spec.rb
new file mode 100755
index 0000000000..b762b33c84
--- /dev/null
+++ b/spec/features/admin/configuration/states_spec.rb
@@ -0,0 +1,77 @@
+require 'spec_helper'
+
+describe "States" do
+  include AuthenticationWorkflow
+
+  let!(:country) { create(:country) }
+
+  before(:each) do
+    quick_login_as_admin
+    @hungary = Spree::Country.create!(name: "Hungary", iso_name: "Hungary")
+    Spree::Config[:default_country_id] = country.id
+  end
+
+  # TODO: For whatever reason, rendering of the states page takes a non-trivial amount of time
+  # Therefore we navigate to it, and wait until what we see is visible
+  def go_to_states_page
+    visit spree.admin_country_states_path(country)
+    counter = 0
+    until page.has_css?("#new_state_link")
+      raise "Could not see new state link!" if counter >= 10
+
+      sleep(2)
+      counter += 1
+    end
+  end
+
+  context "admin visiting states listing" do
+    let!(:state) { create(:state, country: country) }
+
+    it "should correctly display the states" do
+      visit spree.admin_country_states_path(country)
+      expect(page).to have_content(state.name)
+    end
+  end
+
+  context "creating and editing states" do
+    it "should allow an admin to edit existing states", js: true do
+      go_to_states_page
+      set_select2_field("country", country.id)
+
+      click_link "new_state_link"
+      fill_in "state_name", with: "Calgary"
+      fill_in "Abbreviation", with: "CL"
+      click_button "Create"
+      expect(page).to have_content("successfully created!")
+      expect(page).to have_content("Calgary")
+    end
+
+    it "should allow an admin to create states for non default countries", js: true do
+      go_to_states_page
+      set_select2_field "#country", @hungary.id
+      # Just so the change event actually gets triggered in this spec
+      # It is definitely triggered in the "real world"
+      page.execute_script("$('#country').trigger('change');")
+
+      click_link "new_state_link"
+      fill_in "state_name", with: "Pest megye"
+      fill_in "Abbreviation", with: "PE"
+      click_button "Create"
+      expect(page).to have_content("successfully created!")
+      expect(page).to have_content("Pest megye")
+      expect(find("#s2id_country span.select2-chosen").text).to eq("Hungary")
+    end
+
+    it "should show validation errors", js: true do
+      go_to_states_page
+      set_select2_field("country", country.id)
+
+      click_link "new_state_link"
+
+      fill_in "state_name", with: ""
+      fill_in "Abbreviation", with: ""
+      click_button "Create"
+      expect(page).to have_content("Name can't be blank")
+    end
+  end
+end
diff --git a/spec/features/admin/configuration/zones_spec.rb b/spec/features/admin/configuration/zones_spec.rb
new file mode 100644
index 0000000000..394b06c0a3
--- /dev/null
+++ b/spec/features/admin/configuration/zones_spec.rb
@@ -0,0 +1,40 @@
+require 'spec_helper'
+
+describe "Zones" do
+  include AuthenticationWorkflow
+
+  before(:each) do
+    quick_login_as_admin
+    Spree::Zone.delete_all
+    visit spree.admin_path
+    click_link "Configuration"
+  end
+
+  context "show" do
+    it "should display existing zones" do
+      create(:zone, name: "eastern", description: "zone is eastern")
+      create(:zone, name: "western", description: "cool san fran")
+      click_link "Zones"
+
+      within_row(1) { expect(page).to have_content("eastern") }
+      within_row(2) { expect(page).to have_content("western") }
+
+      click_link "zones_order_by_description_title"
+
+      within_row(1) { expect(page).to have_content("western") }
+      within_row(2) { expect(page).to have_content("eastern") }
+    end
+  end
+
+  context "create" do
+    it "should allow an admin to create a new zone" do
+      click_link "Zones"
+      click_link "admin_new_zone_link"
+      expect(page).to have_content("New Zone")
+      fill_in "zone_name", with: "japan"
+      fill_in "zone_description", with: "japanese time zone"
+      click_button "Create"
+      expect(page).to have_content("successfully created!")
+    end
+  end
+end