Index: flang/lib/Semantics/resolve-names-utils.cpp
===================================================================
--- flang/lib/Semantics/resolve-names-utils.cpp
+++ flang/lib/Semantics/resolve-names-utils.cpp
@@ -917,6 +917,7 @@
     if (!dummyArg) {
       newDetails.add_alternateReturn();
     } else if (Symbol *copy{newScope.CopySymbol(*dummyArg)}) {
+      copy->set(Symbol::Flag::Implicit, false);
       newDetails.add_dummyArg(*copy);
       mappings->symbolMap[dummyArg] = copy;
     }
Index: flang/test/Semantics/modproc02.f90
===================================================================
--- /dev/null
+++ flang/test/Semantics/modproc02.f90
@@ -0,0 +1,27 @@
+!RUN: %flang_fc1 -fdebug-dump-symbols %s | FileCheck %s
+module m
+  interface
+    module subroutine s(x) ! implicitly typed
+    end
+  end interface
+end
+
+submodule (m) sm
+  implicit none
+ contains
+  !Ensure no error here due to IMPLICIT NONE
+  module procedure s
+  end
+end
+
+!CHECK:  Module scope: m size=0 alignment=1 sourceRange=63 bytes
+!CHECK:    s, MODULE, PUBLIC (Subroutine): Subprogram isInterface (REAL(4) x)
+!CHECK:    sm: Module (m)
+!CHECK:    Subprogram scope: s size=4 alignment=4 sourceRange=26 bytes
+!CHECK:      s (Subroutine): HostAssoc
+!CHECK:      x (Implicit) size=4 offset=0: ObjectEntity dummy type: REAL(4)
+!CHECK:    Module scope: sm size=0 alignment=1 sourceRange=65 bytes
+!CHECK:      s, MODULE, PUBLIC (Subroutine): Subprogram (REAL(4) x) moduleInterface: s, MODULE, PUBLIC (Subroutine): Subprogram isInterface (REAL(4) x)
+!CHECK:      Subprogram scope: s size=4 alignment=4 sourceRange=22 bytes
+!CHECK:        s: HostAssoc
+!CHECK:        x size=4 offset=0: ObjectEntity dummy type: REAL(4)