Sandals Resorts International has been exempted from withholding taxes in a dispute with the government of Saint Lucia, well placed sources have confirmed.
The sum of money involved has not been revealed.
However it was disclosed that Sandals has been in a long running dispute with the Inland Revenue Department (IRD) over withholding taxes.
“Sandals presented their case to show that they had been overcharged, so the IRD sent a recommendation to cabinet and cabinet acted on it,” a well-informed source explained.
The exemption period covers the period 2001 to 2009.
The latest cabinet document is the second regarding Sandals to have been leaked in the past few weeks.
Last month another cabinet conclusion approving vehicle concessions to the resort became public.
Tourism Minister, Dominic Fedee said the concessions related to the importation of four vehicles, which he asserted was ‘normal’.