We undertook a project to advise on, prepare, and submit an analysis regarding the tax residency status of a foreign entity under the Management & Control test in Cyprus. Our assessment focused on the risk of the entity being deemed a Cyprus tax resident, considering the involvement of a Cyprus-based director with operational oversight. Our analysis examined Cyprus tax laws, the Cyprus–Seychelles Double Tax Treaty, and OECD guidance, assessing how the Cyprus Tax Authorities may interpret the entity’s governance structure. We also provided recommendations to mitigate residency risks, ensuring compliance with international tax standards and safeguarding the entity’s foreign tax residency status.