Transition from CC to (Pty) Ltd Financial Statement Format

What happens when a (Pty) Ltd is accidentally dressed up like a Close Corporation? That’s the dilemma in this real-world case where a client’s 2020 financials used CC-style terms like “members” instead of “directors,” despite being a (Pty) Ltd all along. Now, as the team prepares the 2021 AFS under IFRS for SMEs, key questions arise: Should 2020 be recompiled? Is a disclosure note enough? What do the professional standards say? If you’ve ever had to untangle a client’s financial past, this one’s for you.