Introduction to UDIN Verification

UDIN (Unique Document Identification Number) is a unique code generated by chartered accountants in India to authenticate and verify certified documents. UDIN verification is an indispensable process for validating financial documents and certificates endorsed by certified chartered accountants in the dynamic landscape of digital documentation and verification.

Traditionally, UDIN verification has been a cumbersome and error-prone endeavor. Professionals were compelled to manually cross-reference and verify UDIN with databases from the Institute of Chartered Accountants of India (ICAI) or the Institute of Company Secretaries of India (ICSI), resulting in time-consuming and inefficient processes. 

ICAI UDIN number verification serves as a safeguard for certificates, reports, and various documents certified by members of the public, officials, and other entities. It also empowers third parties to authenticate the legitimacy of certifications, reports, and papers. To streamline and secure the verification process for official document attestation, software companies offer UDIN no verification API solutions.

What is UDIN?

UDIN means Unique Document Identification Number, which serves as a distinctive identifier generated through the UDIN portal for certificates and various documents attested by Chartered Accountants (CA) registered on the platform, ensuring their authenticity and traceability.

UDIN is comprised of an 18-digit system-generated unique number assigned to documents certified or attested by full-time practicing CAs. As a unique alphanumeric code, UDIN helps combat fraud, misrepresentation, and unauthorized alterations in documents.

The configuration of the UDIN comprises three segments:

  • First Two Digits (YY): Represents the last two digits of the current year.
  • Next Six Digits (MMMMMM): Corresponds to ICAI’s Membership Number.
  • Last Ten Digits (AANNNAANNN): An alpha-numeric number randomly generated by the system.

What is UDIN Verification?

UDIN verification is the process of validating the authenticity of a document through its associated 18-digit UDIN. This verification ensures that the document has not undergone any unauthorized modifications, enhancing trust and reliability.

A notable milestone of ICAI UDIN number verification is the generation of over 5 crores of UDINs by ICAI members, underscoring the widespread adoption and significance of UDIN in the professional landscape.

Regulatory Framework for UDIN in India

To counteract the fraudulent certification attempts by non-CAs posing as Chartered Accountants, the Professional Development Committee of ICAI has introduced the innovative concept of the UDIN initiative, implemented in phases.

As per the decision made during the 379th Meeting of the Council, the UDIN has been deemed obligatory for various reports and documents in distinct phases.

  • For all Certificates w.e.f. 1st February, 2019.
  • For all GST and Tax Audit Reports w.e.f. 1st April, 2019.
  • For all other Audit, Assurance, and Attest functions w.e.f. 1st July, 2019.

The UDIN initiative mandates that all accounting professionals in India with a full-time Certificate of Practice (CoP) must obtain UDIN for self-certifying documents and certifications. Non-compliance with this requirement, effective February 1, 2019, can lead to severe punitive measures imposed by the institution.

The UDIN system ensures the security of certificates, reports, and documents attested or certified by practicing CAs, empowering its members to verify UDIN and certify documents. Additionally, it provides regulators, banks, and third parties with the means to verify the authenticity of these certified documents.

How to Register on UDIN Portal?

Registering on the UDIN portal is a fundamental step for professionals aiming to leverage the benefits of the Unique Document Identification Number system. This step-by-step guide provides a comprehensive overview, simplifying the process for seamless registration and integration into the UDIN framework.

  • Initiate Registration : Click on “Member Registration” or “For first-time sign-up”.
  • Provide Membership Details : Enter your six-digit membership number, date of birth, and year of enrollment.
  • Receive OTP : Click “Send OTP” to receive a One-Time password on your registered mobile and email.
  • Confirm OTP : Confirm the received OTP to proceed with the registration.
  • Receive Login Credentials Upon successful confirmation, your username and password will be sent to the registered email and mobile number.

How to Generate a UDIN?

The process of generating a UDIN provides professionals with a way to check UDIN number and the authenticity of their certified documents.

Here are the essential steps for successfully generating a UDIN and incorporating it into the document authentication workflow.

  • Visit the UDIN Portal : Visit udin.icai.org and log in by entering your Username and Password.
  • Navigate to “Generate UDIN” : Click on “Generate UDIN” from the menu bar.
  • Select Document Type :Choose the document type from the drop-down menu.
  • Enter Signing Date :  Input the date of signing or certifying the document.
  • Provide Financial Figures Enter two financial figures from the document, such as Turnover/Net Worth, along with their descriptions.
  • Document Description :Select the document description and provide details about the certificate in 15 to 50 characters.
  • OTP Verification :Click the “Send OTP” button. Enter the OTP received on your registered Mobile and Email.
  • Preview Details :Click “Preview” to review the entered details for generating UDIN.
  • Submit : If the details are accurate, click “Submit.” 
  • UDIN Generation : The 18-digit UDIN will be generated for use on the certificate, either as a watermark, handwritten, or printed.

Why is UDIN Verification Important?

UDIN no. verification ensures the authenticity and credibility of documents certified by practicing CAs. This unique identification system provides a secure way to validate certificates, reports, and other documents, minimizing the risk of fraudulent practices by non-CAs.

Regulatory bodies, banks, and third parties can easily verify the genuineness of documents and check UDIN number online, adding an extra layer of trust and reliability to financial and legal transactions. Compliance with ICAI UDIN number verification is essential to maintain the integrity of certified documents and uphold professional standards in the field of accounting.

UDIN Mandate Implementation: Documents For UDIN Verification

UDIN verification is applicable to a variety of documents across different domains.

  1. Certificates :All types of certificates issued by chartered accountants.
  2. Reports : Financial reports, audit reports, review reports, guidance reports, and other professional reports.
  3. Attestations : Documents attested by chartered accountants.
  4. Forms :Various forms filed with regulatory authorities, including certificates for foreign remittances outside India, filed in Form 15CB.
  5. RERA Certificates : Certificates issued under the Real Estate (Regulation and Development) Act, commonly known as RERA.
  6. Engagements : Audit, Assurance, and Attestation Services encompass a range of professional engagements conducted by full-time practicing CAs to ensure financial accuracy and compliance. 

These services include engagements as per –

    • Standards on Auditing (SAs),
    • Standards on Review Engagements (SREs),
    • Services as per Engagements (SAEs),
    • Guidance Notes on Reports or Certificates for Engagements under Standards on Related Services (SRSs)

The scope extends to any assurance services provided by full-time practicing chartered accountants, emphasizing their pivotal role in upholding standards and integrity in financial reporting and related activities.

Applicability of UDIN Filed Online for Digital Signatures

The requirement for UDIN verification extends to both manually and digitally signed reports, including Tax and GST audit reports submitted online with a digital signature. The UDIN mandate encompasses various digitally signed documents, such as MCA Forms and 15CB, uploaded electronically. In cases where there is no designated field for UDIN in digitally signed online reports, practitioners must generate and retain UDIN. This ensures compliance and the UDIN can be provided upon request from stakeholders.

Entities Authorized to Request UDIN

The entities that are authorized to request UDIN as mandated during the 379th Council Meeting on 17th and 18th December 2018 for full-time practicing members are:

  • RBI (Reserve Bank of India)
  • SEBI (Securities and Exchange Board of India)
  • CBDT (Central Board of Direct Taxes)
  • CBIC (Central Board of Indirect Taxes and Customs)
  • RERA (Real Estate Regulatory Authority)
  • MCA (Ministry of Corporate Affairs)
  • IBA (Indian Banks’ Association)
  • Other Regulatory Bodies

The ICAI has actively communicated this requirement to various regulators, urging them to insist on the inclusion of UDIN in all documents certified by CAs, ensuring a standardized and secure document verification process across diverse regulatory domains.

Challenges Encountered in UDIN Verification 

UDIN verification poses some challenges for both the professionals and the stakeholders who rely on their documents. These drawbacks include potential complexities in the verification process, the need for system integration, and adherence to specific guidelines.

  • Manual Processes –The reliance on manual verification processes can lead to inefficiencies and delays in confirming UDIN authenticity.
  • Paper-based Documentation –Traditional UDIN no verification workflows often involve physical documents, making it cumbersome to track and verify UDIN information.
  • Communication Delays – Verifying UDIN through traditional channels may result in delays due to communication gaps between users and regulatory bodies.
  • Human Error –Manual entry of UDIN information increases the risk of human error during the verification process.
  • Limited Accessibility –Accessing and verifying UDIN information may be challenging, particularly in decentralized or paper-based systems.
  • Resource Intensiveness –Traditional workflows may require significant human resources to verify multiple UDINs, leading to increased operational costs.
  • Audit Trail Challenges –Establishing a clear audit trail for UDIN verification within traditional workflows can be challenging, impacting transparency and accountability.
  • Integration Issues –Integrating UDIN verification seamlessly into existing traditional systems may pose technological challenges, requiring additional effort and resources.

The UDIN Verification API – How to Digitize ICAI Document Validation

The UDIN Verification API presents a robust solution that automates the UDIN verification process, eradicating the necessity for manual oversight. This API empowers professionals to seamlessly integrate UDIN verification into their software applications, streamlining workflows and boosting operational efficiency. Leveraging the UDIN Verification API allows professionals to access real-time validation of UDINs, ensuring document authenticity through a secure API platform.

How UDIN Verification API Digitizes Document Authentication 

UDIN verification API integration transforms UDIN workflows into digital documentation processes.

Here’s how the UDIN verification API facilitates seamless integration, automating and enhancing the efficiency of document verification processes.

  • Step 1. Initiation : CA professionals initiate the UDIN verification process via the UDIN Verification API.
  • Step 2. Service Selection : The selection of the specific service, such as searching for ICAI Member details, is made by the user.
  • Step 3. Input and Real-time Matching The UDIN verification API collects input data as Member Number and initiates real-time fetching and verification of entity proof from government databases.
  • Step 4. Verification Output : The UDIN verification API provides a concise output, including essential details like name, membership number, date of commencement, registered address, and verification status.

Use Cases for UDIN Verification

  • Regulatory Compliance – Ensuring compliance with regulatory bodies such as the RBI, SEBI, CBDT, CBIC, RERA, and others by providing a secure means of document verification.
  • API Platform Transparency –Enhancing trust and confidence among stakeholders, including clients, investors, and authorities, by validating the authenticity of documents certified by CAs.
  • Legal Documentation – Validating the legitimacy of legal documents, contracts, and agreements that have been certified by CAs.
  • Audits and Reviews – Verifying the UDIN associated with audit reports and review engagements to ensure the integrity of the auditing process.
  • Corporate Governance – Supporting corporate governance initiatives by providing a standardized and secure method for verifying documents related to corporate activities with certified CAs through UDIN verification.
  • Online Filings – Verifying UDIN in digitally signed online reports, including submissions to regulatory authorities and government bodies.
  • Fraud Prevention – Acting as a preventive measure against fraudulent activities by establishing a unique identification system for documents certified by CAs.

Optimize Workflows with SignDesk’s Integrated API for Secure UDIN Verification

SignDesk is a SaaS-based digital solution provider offering a wide variety of API-integrated solutions that can execute UDIN verification instantly and experience a smooth and secure user experience.

Here are some of the ID verification API services SignDesk offers:

Utilize SignDesk’s UDIN Verification API Solution to address the conventional challenges linked with CA verification, offering a streamlined and expedited process for secure and instant UDIN verification.