All About Unique Document Identification Number (UDIN) for Practicing Chartered Accountants

What is Unique Document Identification Number (UDIN)?

The Unique Document Identification Number (UDIN) is a unique identification number generated for every document certified or attested by Chartered Accountants in practice. This system was introduced by the Institute of Chartered Accountants of India (ICAI) to enhance the authenticity and traceability of the documents and reports certified by CAs. It is designed to prevent fraudulent practices by ensuring that the documents presented by third parties are genuinely attested by a practicing Chartered Accountant.

Each UDIN consists of a 15-digit number that is automatically generated by the UDIN portal. This number includes details such as the membership number of the Chartered Accountant, the date of document issuance, and a randomly generated number. Once a UDIN is generated, it can be used by regulators, banks, and other stakeholders to verify the authenticity of the document by checking it against the UDIN portal.

Table of Contents

1. Need for Introduction of UDIN
2. What is UDIN?
3. Implementation of UDIN
4. Benefits of UDIN
5. Unique Features of UDIN
6. New Features of UDIN
7. Trademark and Copyright of UDIN
8. Time for Generation of UDIN
9. Bulk Unique Document Identification Number (UDIN)
10. Flow of UDIN System
11. Revoke/Cancel UDIN
12. Whether a regulator/third party is required to register on UDIN portal?
13. Non-Compliance of UDIN
14. Conclusion

1. Need for Introduction of UDIN

Chartered Accountants (CAs) have an important role in the economic development of the country and the Institute of Chartered Accountants (ICAI) being the governing body has a very crucial role to play as a partner in the process of nation building. Before the introduction of Unique Document Identification Number (UDIN) in 2019, there was a huge demand from the Indian Banker’s Association (IBA) and the bankers regarding the verification of authenticity of the signature of Chartered Accountants (CA). ICAI noticed rising cases of misrepresentation of CAs’ services and forged signatures of CAs being done by non-CAs.

It was to fulfil this demand and curb such malpractices, that ICAI came up with the idea of online real time processing system wherein the credentials of any of its members could be verified. So, it was from the genesis of idea that UDIN was initiated. UDIN is amongst the most successful reforms ICAI has undertaken in the recent past. Accordingly, ICAI has come up with a guideline that every signature of the CA must be followed by a UDIN, in order to establish the ownership of that particular document. The advent of UDIN has helped establish a climate of trust, accountability and openness among the stakeholders towards ICAI and its members.

2. What is UDIN?

Unique Document Identification Number (UDIN) is an 18-digit system generated unique number for every document certified/attested by full time practicing CAs and registered with the UDIN portal (https://udin.icai.org). The configuration of the 18-digit UDIN is as follows:

3. Implementation of UDIN

UDIN was introduced and made mandatory by the Council in a phased manner:

4. Benefits of UDIN

1. Gives identity to every document certified by a CA.
2. Seal of authentication on documents signed by a genuine CA.
3. Anytime and anywhere online verification of documents bearing UDIN by regulators and stakeholders.
4. Message alerts to the verifier in case the UDIN is revoked after its verification.

5. Unique Features of UDIN

1. Only members of ICAI with full-time Certificate of Practice (CoP) can register.
2. No limit on the number of generation of UDIN.
3. Only signing partner can generate UDIN.
4. Assists regulators and banks in verifying the credentials of documents certified by CAs.
5. No fees for registration/generation of UDIN.
6. Neither client name nor any document is required to be disclosed or uploaded anywhere.
7. OTP and UDIN is shared only on the registered mobile and email of the members.
8. In case, a document has been signed by more than one partner of the CA firm, then all such signing partners shall generate UDIN separately.

6. New Features of UDIN

1. Graphical User Interface (GUI) based user dashboard for the Members: The interface will present the summary UDIN statistics for various categories viz, Audit and Assurance, GST and Tax Audit and Certificates generated by a member since 2019. This feature enables members to keep a track of total UDINs generated by them.
2. Downloadable filled-in UDINs in PDF: Members will be able to download PDF having details regarding filled-in data for UDINs, enabling them to verify the data entered into the system for generating UDIN.
3. Save and Copy Option: Save draft and Copy UDIN option will assist the members for a flawless experience on mentioning the UDINs without any copying error.
4. Enabled QR code in UDIN PDF: All the key details punched at the time of UDIN generation are provisioned for QR code. After scanning the QR code, the same shall be directed to the “Verify UDIN” link for verification, thus, enabling the verifiers an option of scanning the QR code, which is a modern feature in the governance ecosystem.
5. Monthly/Quarterly mails to the members: UDIN generated at firm’s level for a particular month/quarter, will be mailed to firm’s head at the end of the said period.
6. Providing details of periodically generated UDINs: Monthly/Quarterly number of the total UDINs generated will be made available to all registered members at UDIN portal.
7. Effective search functionality: Enhanced search functionality on almost all the fields with full text search on the basis of entered data on text field.

7. Trademark and Copyright of UDIN

The acronym “UDIN” has been registered under the Trademarks Act, 1999 with effect from 15^th March, 2019 in the name of ICAI under the seal of Registrar of Trade Marks.

Copyright for the same has been obtained by ICAI on 9^th February, 2021.

8. Time for Generation of UDIN

UDIN is to be generated at the time of signing the documents. However, it may be generated within 60 days in line with SQC 1 and SA 230 from the signing of the document.

9. Bulk Unique Document Identification Number (UDIN)

A provision has been incorporated in the UDIN Portal whereby UDINs can be generated in bulk (Mini 3; Max 300) for various types of Certificates in one go. It can also be done through uploading of Excel file.

10. Flow of UDIN System

• Portal available on https://udin.icai.org
• Member sign up for ist time registration
• Member login by six digit membership number and password
• Generation of UDIN
• Print UDIN as watermark/handwritten

11. Revoke/Cancel UDIN

In case of any error committed in the process of UDIN generation, the same may be corrected by revising the form with new UDIN generated by revoking the earlier generated UDIN.

The members will be able to revoke the UDINs, if they so desire, only within 48 hours from the time they have been generated.

The authorities, regulators, banks, and others verifying UDIN authenticity will know that a UDIN can only be revoked within 48 hours of its generation.

12. Whether a regulator/third party is required to register on UDIN portal?

The registration is not required for the regulator/third party for verification.

For verifying the UDIN, the regulator/third party, for example, banker has to mention the UDIN number, authority, mobile number, and email ID, and the member who generated UDIN would get an SMS alert informing that the third party has verified UDIN.

13. Non-Compliance of UDIN

Clause (1) of Part II of Second Schedule of the Chartered Accountants Act, 1949

“A member shall be guilty of Professional misconduct if he contravenes any of the provisions of the Act, Regulations or Guidelines issued by the Council.”

Thus, non-compliance of UDIN directive shall amount to professional misconduct and may attract Disciplinary Proceedings as per the aforesaid provisions of the Act.

14. Conclusion

UDIN as an endeavour of ICAI, has brought a universal verification mechanism for ascertaining the authenticity of the documents signed by the Indian Chartered Accountants. Since its inception, UDIN has become a sine qua non for trust and accountability. Its success can be rated from the fact, that the total number of UDINs generated by ICAI members since start of UDIN system has crossed the mark of 6 Crores by 2024 while about 1.7 crores UDINs being generated in fiscal year 23-24 itself. UDIN with its unique features, has served as one of the pivotal instruments of institutional governance.