Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 280

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 280
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, the
Company has ordinary shares of 25,916,468 (excluding 53,711 ordinary shares classified as mezzanine equity) issued and outstanding.

On April 12, 2023, Titan Digital acquired a
100% equity interest in Starry from Debbie, the spouse of Jianhao Tan, the Chief Executive Officer (“CEO”) of Titan Digital,
through issuance of 17,648 or 15% of Titan Digital’s ordinary shares to Debbie. As a result, the Company’s equity interest
in Titan Digital was reduced from 100% to 85% upon completion of the acquisition of Starry while recognized $182,599 of non-controlling
interest in the Company’s statements of change in shareholders’ equity. As no cash consideration was received, $381,947 which
is the difference between the fair value of the consideration received and the amount by which the noncontrolling interest is adjusted
was recognized as an addition in additional paid-in capital in accordance with ASC 810-10-45-23 “Change in a parent’s ownership
interest in a subsidiary”.

Note 14 — Income tax

Cayman Islands

GCL Global is incorporated in Cayman Islands and
is not subject to tax on income or capital gains under current Cayman Island law. Additionally, upon payments of dividends to the shareholders,
no Cayman Islands withholding tax will be imposed.

British Virgin Islands

GCL BVI is incorporated in British Virgin Islands
and are not subject to tax on income or capital gains under current British Virgin Island law. Additionally, upon payments of dividends
to the shareholders, no British Island withholding tax will be imposed.

Singapore

The Company’s subsidiaries incorporated in
Singapore, are subject to Singapore Profits Tax on the taxable income as reported in its statutory financial statements adjusted in accordance
with relevant Singapore tax laws. The applicable corporate income tax rate is 17% in Singapore, with 75% of the first $7,437 (SGD 10,000)
taxable income and 50% of the next $141, 295 (SGD 190,000) taxable income are exempted from income tax.

Hong Kong

The Company’s subsidiaries incorporated in
Hong Kong, are subject to Hong Kong Profits Tax on the taxable income as reported in its statutory financial statements adjusted in accordance
with relevant Hong Kong tax laws. Under the two-tiered profits tax rates regime, the first 2,000,000 Hong Kong Dollar (“HKD”)
of profits of the