CGT due on sale of property abroad in Poland – double taxation agreement

My wife lives in UK and tax resident here. In November 2023 we sold a residential property in Poland that was registered in her name. Polish tax laws stipulated 19% CGT due on profit from sale. This 19% was paid to the Polish tax authorities by 30th April 2024 in line with their requirements when she submitted her Polish self-assessment for year 2023. The sale price was approx £85,000 and the capital gain was approx £35,000 to £40,000. I understand she is required to complete an online self-assessment by Jan 2025 to HMRC to advise them of the sale of this foreign property and pay any CGT due to HMRC. I have read the “2006 Poland-UK Double Taxation Convention - in force” document from GOV.uk website and it appears she can claim 100% double taxation relief in this instance. "ARTICLE 13 - Capital Gains Gains derived by a resident of a Contracting State from the alienation of immovable property referred to in Article 6 of this Convention and situated in the other Contracting State may be taxed in that other State." ARTICLE 6 refers to "Income from immovable property", in our case this residential property. My wife is a basic rate tax payer with no UK or worldwide income for tax year 23/24. Therefore because she has paid 19% CGT in Poland, and would be due to pay 18% in UK (excluding any CGT allowance she could avail of if required) this means that there is no tax due to HMRC and she can fill in the self-assessment in that manner. Please confirm my interpretation is correct. Thank you.

Hi neemz,
You are correct.
Thank you. 

 

Many thanks for the confirmation.