In this paper, we evaluate the performance of Layered Space-Frequency Equalization (LSFE) with iterative cancellation. LSFE is a combination of V-BLAST (Vertical Bell Laboratories Layered Space-Time) that is one of the signal detection methods for MIMO systems and Frequency Domain Equalization (FDE) that is one of the techniques for frequency selective fading channels. We use two iterative cancellation methods: Forward Iterative Cancellation (FIC) and Backward Iterative Cancellation (BIC). From the results of computer simulations, we show that in frequency selective fading channels, bit error rate (BER) of LSFE is improved by FIC and BIC. We also show that when the number of paths is large, LSFE with BIC achieves the larger diversity gain and the better BER than LSFE with FIC.