By Azara Lavia
Azara.lavia @antiguaobsever.com
A longstanding dispute between Sandals Grande Antigua Resort and Spa and the Government of Antigua and Barbuda has resurfaced.
Prime Minister of Antigua and Barbuda, Gaston Browne, has accused the luxury hotel chain of attempting to exploit tax concessions and evade paying its fair share of taxes.
According to Browne, the Inland Revenue Department has assessed Sandals for an outstanding tax bill of $30 million. However, he believes the resort will resist paying the full amount, resorting to what he describes as “manipulative” tactics. Browne further accuses the hotel chain of shifting profits through offshore accounts to minimize its tax obligations.
“We are currently facing an issue with Sandals,” Browne remarked. “The Inland Revenue has assessed them for $30 million in unpaid taxes, and I’m sure it will turn into another fight. I don’t understand why these so-called investors act as if they’re the only game in town, the only stakeholders that should benefit. They try to squeeze every last drop of revenue without giving anything back to the government.”
Browne expressed frustration with the company’s refusal to cooperate. “I don’t want to go down this road with them again,” he said. “I want to appeal to them to please work with us. If we have to call them out again, we will. They’ve had similar issues in the Bahamas, where they engaged in practices that were completely inappropriate, and now they have to pay up. Everywhere they go, this seems to be their modus operandi—they feel entitled to reduce government taxes and keep all the profits for themselves.”
The prime minister was particularly outspoken about the impact of such behaviour on the workers of the resort and government revenues.
“You have staff who deserve fair wages, and the government needs to receive its fair share of taxes. You can’t just focus on exploiting concessions and pushing governments to the brink; enough is enough,” he said.
Browne also pointed out that large hotel chains like Sandals benefit from substantial tax breaks and concessions from the government — sometimes as much as 25 years of tax-free operations.
However, despite these generous incentives, he claims that the resorts continue to demand more. He also criticised Sandals for threatening to withdraw investment or relocate operations, calling it an “exploitative” tactic.
The prime minister therefore called for greater regional unity to ensure a more equitable relationship with international hotel chains, highlighting the importance of balancing tourism growth with local benefits.
Observer reached out to Sandals Grande Antigua for comment on Browne’s statements, however the resort’s Public Relations Manager, Leon Norville, declined to provide a response at this time.
