A technique using combination of multiresolution transformation and code division multiple access (CDMA) is presented for transmission of images through CDMA channels. We compare our results with other techniques employing discrete cosine transform for such applications. We show that efficient transmission of signals/images via CDMA channels is achieved through compression of images using multiresolution transform and performing optimum bit allocation with the aid of variable bit rate model. It is observed that the reconstructed image of the proposed system employing optimum bit allocation is superior in terms of image quality and processing efficiency relative to the reconstructed image of a system which assigns image data bits to CDMA channels indiscriminately.