Company: GCL
Filing Date: 2025-07-31
Form Type: 20-F
Source: 0001213900-25-069672
Chunk: 236

Company: GCL Global Holdings Ltd
Filing Date: 2025-07-31
Form: 20-F
Item: Item 19
Chunk 236
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                7,916  
  Allowance made during the year      $              195,252  
  Foreign exchange difference                        ( 3,660  
  Balance as of March 31, 2025        $              199,508  

As of March 31, 2024,
the Company’s net operating losses carry forward from GCL Global SG, Titan Digital, Starry, Martiangear, and Epicsoft Malaysia combined
amounted to $2,378,580. The net operating losses from GCL Global SG and Martiangear can be carried forward indefinitely in Singapore.
The Company believes it is not more likely than not that Martiangear’s future operation will be able to fully utilize its deferred tax assets
related to the net operating loss carryforwards in Singapore due to recuring historical loss. As a result, the Company provided a100%
allowance on deferred tax assets on net operating losses of approximately $7,916related to Martiangear as of March 31, 2024. In
addition, the valuation allowance of $5,874was assessed for Starlight’s net operating loss as of March 31,2023, which was
reversed as of March 31, 2024, due to dissolution of the business entity.

Movement in deferred tax assets (liabilities)
are as following:

  Balance at March 31, 2023                 ( 514,675  
 ───────────────────────────────────────────────────────
  Recognized in profit or loss                669,869  
  Recognized in goodwill                     ( 36,973  
  Foreign exchange differences reserve        ( 2,761  
  Balance at March 31, 2024                   115,460  
  Recognized in profit or loss                233,848  
  Foreign exchange differences reserve          1,752  
  Balance at March 31, 2025                   351,060  

Uncertain tax positions

The Company evaluates each
uncertain tax position (including the potential application of interest and penalties) based on the technical merits, and measures the
unrecognized benefits associated with the tax positions. As of March 31, 2025 and 2024, the Company did not have any significant unrecognized
uncertain tax positions.

Taxes payable consist of the following:

                            March 31,                     March 31,                 
  GST taxes payable         $                 21,707      $                 64,166  
  Income taxes payable