In the IoT applications development process, the consumers expectations are always high. Thus, the development environment should be focusing on virtual provisioning, manipulation, and testing and debugging. This has also raised more challenges in terms of proper testing to be done in both user interface level as well as the functionality level. It will be really challenging to test a connected device within a full IoT environment, which will have more devices with varied functionalities and data processing. These challenges have made a new way of testing to be done so that the test cases will be more efficient in revealing the errors in the software. In this chapter, UML use case diagram-based test cases generation for an IoT environment is explained in detail. Also, a real-time case study IoT application is taken to showcase how this approach helps in generating the test cases to test the embedded software in these IoT devices in terms of data flow, control flow, and functionalities with improved performance.