diff --git a/tempest/api/identity/admin/v3/test_projects.py b/tempest/api/identity/admin/v3/test_projects.py
index 607bebe..b53cfae 100644
--- a/tempest/api/identity/admin/v3/test_projects.py
+++ b/tempest/api/identity/admin/v3/test_projects.py
@@ -13,10 +13,15 @@
 #    License for the specific language governing permissions and limitations
 #    under the License.
 
+import testtools
+
 from tempest.api.identity import base
 from tempest.common.utils import data_utils
+from tempest import config
 from tempest import test
 
+CONF = config.CONF
+
 
 class ProjectsTestJSON(base.BaseIdentityV3AdminTest):
 
@@ -52,6 +57,37 @@
         self.assertEqual(project_name, body['name'])
         self.assertEqual(self.data.domain['id'], body['domain_id'])
 
+    @testtools.skipUnless(CONF.identity_feature_enabled.reseller,
+                          'Reseller not available.')
+    @test.idempotent_id('1854f9c0-70bc-4d11-a08a-1c789d339e3d')
+    def test_project_create_with_parent(self):
+        # Create root project without providing a parent_id
+        self.data.setup_test_domain()
+        domain_id = self.data.domain['id']
+
+        root_project_name = data_utils.rand_name('root_project')
+        root_project = self.projects_client.create_project(
+            root_project_name, domain_id=domain_id)['project']
+        self.addCleanup(
+            self.projects_client.delete_project, root_project['id'])
+
+        root_project_id = root_project['id']
+        parent_id = root_project['parent_id']
+        self.assertEqual(root_project_name, root_project['name'])
+        # If not provided, the parent_id must point to the top level
+        # project in the hierarchy, i.e. its domain
+        self.assertEqual(domain_id, parent_id)
+
+        # Create a project using root_project_id as parent_id
+        project_name = data_utils.rand_name('project')
+        project = self.projects_client.create_project(
+            project_name, domain_id=domain_id,
+            parent_id=root_project_id)['project']
+        self.data.projects.append(project)
+        parent_id = project['parent_id']
+        self.assertEqual(project_name, project['name'])
+        self.assertEqual(root_project_id, parent_id)
+
     @test.idempotent_id('1f66dc76-50cc-4741-a200-af984509e480')
     def test_project_create_enabled(self):
         # Create a project that is enabled
diff --git a/tempest/config.py b/tempest/config.py
index eb5e23a..8ec8b24 100644
--- a/tempest/config.py
+++ b/tempest/config.py
@@ -191,7 +191,12 @@
                 help="A list of enabled identity extensions with a special "
                      "entry all which indicates every extension is enabled. "
                      "Empty list indicates all extensions are disabled. "
-                     "To get the list of extensions run: 'keystone discover'")
+                     "To get the list of extensions run: 'keystone discover'"),
+    # TODO(rodrigods): Remove the reseller flag when Kilo and Liberty is end
+    # of life.
+    cfg.BoolOpt('reseller',
+                default=False,
+                help='Does the environment support reseller?')
 ]
 
 compute_group = cfg.OptGroup(name='compute',