1. Preheat oven to 350 degrees. Line cookie sheets with parchment paper or Silpats.
2. In a small bowl, whisk together flour, baking soda, baking powder and salt. Set aside.
3. Using a mixer, beat together the butter and sugar until smooth and very fluffy. This will take a couple of minutes.
4. Beat in the egg, vanilla extract, lime juice and lime zest. Mix until well combined.
5. Gradually add in the dry ingredients and toasted coconut. Mix until combined, don't over mix.
6. Roll rounded teaspoonfuls of cookie dough into balls. Put sugar in a small bowl and roll cookie dough balls in the sugar. Place on lined cookie sheets about 1 1/2 inches apart.
7. Bake 8 to 10 minutes or until lightly browned. The cookies will start to crack a little bit.
8. Let stand on cookie sheet two minutes. Move cookies to a cooling rack.
*Note-to toast the coconut-place coconut on lined baking sheet. Bake for 5-8 minutes at 350 degrees. Tossing a couple of times. Remove from oven when coconut is light brown.*