diff --git a/homeassistant/components/local_ip/__init__.py b/homeassistant/components/local_ip/__init__.py
index 1e8376b6b6f..c4e8c541e4a 100644
--- a/homeassistant/components/local_ip/__init__.py
+++ b/homeassistant/components/local_ip/__init__.py
@@ -1,35 +1,11 @@
 """Get the local IP address of the Home Assistant instance."""
-import voluptuous as vol
-
-from homeassistant.config_entries import SOURCE_IMPORT, ConfigEntry
-from homeassistant.const import CONF_NAME
+from homeassistant.config_entries import ConfigEntry
 from homeassistant.core import HomeAssistant
 import homeassistant.helpers.config_validation as cv
 
 from .const import DOMAIN, PLATFORMS
 
-CONFIG_SCHEMA = vol.Schema(
-    {
-        DOMAIN: vol.All(
-            cv.deprecated(CONF_NAME),
-            vol.Schema({vol.Optional(CONF_NAME, default=DOMAIN): cv.string}),
-        )
-    },
-    extra=vol.ALLOW_EXTRA,
-)
-
-
-async def async_setup(hass: HomeAssistant, config: dict):
-    """Set up local_ip from configuration.yaml."""
-    conf = config.get(DOMAIN)
-    if conf:
-        hass.async_create_task(
-            hass.config_entries.flow.async_init(
-                DOMAIN, data=conf, context={"source": SOURCE_IMPORT}
-            )
-        )
-
-    return True
+CONFIG_SCHEMA = cv.deprecated(DOMAIN)
 
 
 async def async_setup_entry(hass: HomeAssistant, entry: ConfigEntry):
diff --git a/homeassistant/components/local_ip/config_flow.py b/homeassistant/components/local_ip/config_flow.py
index 3ce1bbfb4dc..2bc994c4dca 100644
--- a/homeassistant/components/local_ip/config_flow.py
+++ b/homeassistant/components/local_ip/config_flow.py
@@ -20,7 +20,3 @@ class SimpleConfigFlow(config_entries.ConfigFlow, domain=DOMAIN):
             return self.async_show_form(step_id="user")
 
         return self.async_create_entry(title=DOMAIN, data=user_input)
-
-    async def async_step_import(self, import_info):
-        """Handle import from config file."""
-        return await self.async_step_user(import_info)
diff --git a/tests/components/local_ip/test_init.py b/tests/components/local_ip/test_init.py
index 3f5c4395f2d..a7ebfba28e2 100644
--- a/tests/components/local_ip/test_init.py
+++ b/tests/components/local_ip/test_init.py
@@ -1,21 +1,18 @@
 """Tests for the local_ip component."""
-import pytest
-
 from homeassistant.components.local_ip import DOMAIN
-from homeassistant.setup import async_setup_component
 from homeassistant.util import get_local_ip
 
-
-@pytest.fixture(name="config")
-def config_fixture():
-    """Create hass config fixture."""
-    return {DOMAIN: {}}
+from tests.common import MockConfigEntry
 
 
-async def test_basic_setup(hass, config):
+async def test_basic_setup(hass):
     """Test component setup creates entry from config."""
-    assert await async_setup_component(hass, DOMAIN, config)
+    entry = MockConfigEntry(domain=DOMAIN, data={})
+    entry.add_to_hass(hass)
+
+    await hass.config_entries.async_setup(entry.entry_id)
     await hass.async_block_till_done()
+
     local_ip = await hass.async_add_executor_job(get_local_ip)
     state = hass.states.get(f"sensor.{DOMAIN}")
     assert state