Ngwenya (Pty) Ltd during the 28 February 2025 year of assessment, had the following two transactions occur which the financial accountant asks you what the tax implications are:

Transaction 1:

Ngwenya purchased trading stock during the current year of assessment at a cost of R30 000. This stock was given for no consideration to a homeless shelter. The shelter is not a registered PBO. The stock had a market value of R51 000.

Transaction 2:

Trading stock (specific items) were purchased for an amount of R138 000 during the year of assessment. None of this trading stock were sold and at year-end after the auditors' stock take, these specific items had a market value of R71 000.