Preheat oven to 300ºF. Place coconut on a cookie sheet and toast for up to 20 minutes, taking care to monitor closely and stir coconut so that it is evenly toasted. This may be done on the stove top in a skillet over medium heat while being stirred, but it will be more evenly toasted in the oven.
Raise oven temperature to 350°F. and prepare a cookie sheet by lining it with parchment.
In a mixing bowl, cream butter until fluffy, about 2-3 minutes. Add sugar and beat until light and fluffy.
In a small bowl, stir together the flour, baking soda, baking powder, and salt.
Add the egg, vanilla, lime zest and lime juice to the butter mixture and mix well.
Add half of the flour mixture and scrape down the sides of the bowl as needed. Add the remaining flour mixture and blend thoroughly.
Mix in toasted coconut.
Using teaspoonfuls of dough, roll dough into balls and then roll in the granulated sugar.
Place onto the prepared cookie sheet about 1 1/2 inches apart.
Bake 8-10 minutes until lightly browned. Allow cookies to cool on cookie sheet for 2 minutes before transferring to wire rack to cool completely.
Compliments of 365 Days of Baking and More