diff --git a/.github/workflows/build.yml b/.github/workflows/build.yml
index 0de073e1..3bafa810 100644
--- a/.github/workflows/build.yml
+++ b/.github/workflows/build.yml
@@ -20,7 +20,7 @@ jobs:
         pip install .[qa]
     - name: Run Flake8
       # Ignore F401, which are unused imports. flake8 is a primitive tool and is sometimes wrong.
-      run: flake8 --extend-ignore F401 parso test/*.py setup.py scripts/
+      run: flake8 --extend-ignore F401 parso test/*.py scripts/
     - name: Run Mypy
       run: mypy parso
   test:
diff --git a/pyproject.toml b/pyproject.toml
new file mode 100644
index 00000000..e5e91cf0
--- /dev/null
+++ b/pyproject.toml
@@ -0,0 +1,77 @@
+[build-system]
+requires = ["setuptools>=44", "wheel", "setuptools_scm[toml]>=3.4.3"]
+build-backend = "setuptools.build_meta"
+
+[project]
+name = "parso"
+authors = [{name = "David Halter", email = "davidhalter88@gmail.com"}]
+maintainers = [{name = "David Halter", email = "davidhalter88@gmail.com"}]
+license = {text = "MIT"}
+description = "A Python Parser"
+keywords = ["python", "parser", "parsing"]
+classifiers = [
+    "Development Status :: 4 - Beta",
+    "Environment :: Plugins",
+    "Intended Audience :: Developers",
+    "License :: OSI Approved :: MIT License",
+    "Operating System :: OS Independent",
+    "Programming Language :: Python :: 3",
+    "Programming Language :: Python :: 3.6",
+    "Programming Language :: Python :: 3.7",
+    "Programming Language :: Python :: 3.8",
+    "Programming Language :: Python :: 3.9",
+    "Topic :: Software Development :: Libraries :: Python Modules",
+    "Topic :: Text Editors :: Integrated Development Environments (IDE)",
+    "Topic :: Utilities",
+    "Typing :: Typed",
+]
+urls = {Homepage = "https://github.com/davidhalter/parso"}
+dynamic = ["readme", "version"]
+requires-python = ">=3.6"
+
+[project.optional-dependencies]
+testing = ["pytest<6.0.0", "docopt"]
+qa = ["flake8==3.8.3", "mypy==0.782"]
+
+[tool.setuptools]
+include-package-data = true
+platforms = ["any"]
+
+[tool.setuptools.packages.find]
+exclude = [
+    "test",
+    "test.*",
+]
+namespaces = false
+
+[tool.setuptools.package-data]
+parso = [
+    "python/grammar*.txt",
+    "py.typed",
+    "*.pyi",
+    "**/*.pyi",
+]
+
+[tool.setuptools.dynamic]
+readme = {file = ["README.rst", "CHANGELOG.rst"]}
+
+[tool.setuptools_scm]
+
+[tool.distutils.bdist_wheel]
+universal = 1
+
+[tool.flake8]
+max-line-length = "100"
+ignore = """
+E722,
+E226,
+W503,"""
+
+[tool.mypy]
+disallow_subclassing_any = true
+warn_redundant_casts = true
+warn_unused_ignores = true
+warn_return_any = true
+warn_unused_configs = true
+warn_unreachable = true
+strict_equality = true
diff --git a/setup.cfg b/setup.cfg
deleted file mode 100644
index 433824a3..00000000
--- a/setup.cfg
+++ /dev/null
@@ -1,25 +0,0 @@
-[bdist_wheel]
-universal=1
-
-[flake8]
-max-line-length = 100
-ignore =
-  # do not use bare 'except'
-  E722,
-  # don't know why this was ever even an option, 1+1 should be possible.
-  E226,
-  # line break before binary operator
-  W503,
-
-
-[mypy]
-disallow_subclassing_any = True
-
-# Avoid creating future gotchas emerging from bad typing
-warn_redundant_casts = True
-warn_unused_ignores = True
-warn_return_any = True
-warn_unused_configs = True
-warn_unreachable = True
-
-strict_equality = True
diff --git a/setup.py b/setup.py
deleted file mode 100755
index 0ead19cb..00000000
--- a/setup.py
+++ /dev/null
@@ -1,58 +0,0 @@
-#!/usr/bin/env python
-
-from __future__ import with_statement
-
-from setuptools import setup, find_packages
-
-import parso
-
-
-__AUTHOR__ = 'David Halter'
-__AUTHOR_EMAIL__ = 'davidhalter88@gmail.com'
-
-readme = open('README.rst').read() + '\n\n' + open('CHANGELOG.rst').read()
-
-setup(
-    name='parso',
-    version=parso.__version__,
-    description='A Python Parser',
-    author=__AUTHOR__,
-    author_email=__AUTHOR_EMAIL__,
-    include_package_data=True,
-    maintainer=__AUTHOR__,
-    maintainer_email=__AUTHOR_EMAIL__,
-    url='https://github.com/davidhalter/parso',
-    license='MIT',
-    keywords='python parser parsing',
-    long_description=readme,
-    packages=find_packages(exclude=['test']),
-    package_data={'parso': ['python/grammar*.txt', 'py.typed', '*.pyi', '**/*.pyi']},
-    platforms=['any'],
-    python_requires='>=3.6',
-    classifiers=[
-        'Development Status :: 4 - Beta',
-        'Environment :: Plugins',
-        'Intended Audience :: Developers',
-        'License :: OSI Approved :: MIT License',
-        'Operating System :: OS Independent',
-        'Programming Language :: Python :: 3',
-        'Programming Language :: Python :: 3.6',
-        'Programming Language :: Python :: 3.7',
-        'Programming Language :: Python :: 3.8',
-        'Programming Language :: Python :: 3.9',
-        'Topic :: Software Development :: Libraries :: Python Modules',
-        'Topic :: Text Editors :: Integrated Development Environments (IDE)',
-        'Topic :: Utilities',
-        'Typing :: Typed',
-    ],
-    extras_require={
-        'testing': [
-            'pytest<6.0.0',
-            'docopt',
-        ],
-        'qa': [
-            'flake8==3.8.3',
-            'mypy==0.782',
-        ],
-    },
-)