System and method for interference cancellation in a digital wireless communications system. A preferred embodiment comprises sampling a received signal wherein the received signal is real-valued, rotating the sampled received signal by a specified amount, extracting in-phase and quadrature phase streams from the rotated, sampled received signal, applying an interference suppression filter and combining the filtered streams. The output of the combining operation can be de-correlated (by whitening) if there is excessive correlation.