A novel enhanced oil recovery (EOR) method based on polymer gel-assisted carbon dioxide (CO2) huff and puff was developed aiming to improve the development effect of heavy oil reservoirs with high water cut. The polymer gel prepared using partially hydrolyzed polyacrylamide (HPAM), hexamethylenetetramine, phenol, resorcinol, oxalic acid, and thiocarbamide as raw materials had a special network structure to overcome the challenge of significant heterogeneity in heavy oil reservoirs. The strength of polymer gel reached the maximum value 20,000 mPa·s within 22 h. The temperature resistance and salt resistance of polymer gel directly determined the plugging effect. The polymer gel was placed for 190 days at 85 ℃, and its apparent viscosity retention rate was 66.4%. The salt resistance experiments showed that the apparent viscosity retention rate of this polymer gel at 1.8 wt % NaCl, 0.045 wt % CaCl2, 0.045 wt % MgCl2 was 71.3%, 78.5%, 71.4%, respectively. Huff and puff experiments confirmed that this method could be used to increase the sweep volume and improve the oil displacement efficiency of heavy oil reservoirs with high water cut. Furthermore, the EOR of this method was better than that of water huff and puff, polymer gel huff and puff or CO2 huff and puff.