Tim Duncan and Gov. Charles W. Turnbull will sign on Friday a tentative contract under which the Crucian basketball star will pay income taxes in the V.I. and promote the territory in return for unspecified tax breaks on future business endeavors.
As of Thursday, the Source was unable to obtain a copy of the contract from Government House despite numerous requests. Joel Holt, the attorney who drafted the contract for Duncan, couldn’t be reached for comment.
A Government House statement said the administration has entered into a tentative agreement with Duncan and his corporation, T.D. Enterprises.
Turnbull said the agreement provides tax incentive benefits to T.D. Enterprises that are linked to Duncan reestablishing residency on St. Croix, promoting the territory in advertisements, establishing his company headquarters in the territory, and paying personal income taxes to the V.I. government.
Depending on Duncan's future pro basketball contracts, the income-tax clause could mean several million dollars a year in government revenue.
In return, the government will bestow unspecified tax breaks on T.D. Enterprises, the company that will handle Duncan’s merchandising and sponsorship deals.
According to a souce familiar with the contract, T.D. Enterprises includes six stockholders. They have not been named.
A Government House spokeswoman, Rina McBrowne, said once the contract is signed Friday, it will be transmitted to Senate President Vargrave Richards either on the same day or Monday. At that point, she said, its contents will be made public.
"It’s still considered a tentative contract until it’s signed," she said, explaining why a copy couldn’t be made public prior to the signing on Friday.
The governor said he was "pleased that we were able to work out an agreement that will help to promote the Virgin Islands and bring business into the territory, especially at this time in our history when positive publicity is vitally needed, as well as an influx of commercial activity."