Airborne laser scanning data has become an accepted data source for highly automated acquisition of digital surface models(DSM) as well as for the generation of digital terrain models(DTM). To generate a high quality DTM using LIDAR data, 3D off-terrain points have to be separated from terrain points. Even though most LIDAR system can measure "last-return" data points, these "last-return" point often measure ground clutter like shrubbery, cars, buildings, and the canopy of dense foliage. Consequently, raw LIDAR points must be
post-processed to remove these undesirable returns. The degree to which this post processing is successful is critical in determining whether LIDAR is cost effective for large-scale mapping application. Various techniques have been proposed to extract the ground surface from airborne LIDAR data. The basic problem is the separation of terrain points from off-terrain points which are both recorded by the LIDAR sensor. In this paper a new method, combination of morphological filtering and TIN densification, is proposed to separate 3D off-terrain points.