An optical sensor system includes a display substrate, display pixel circuitry including a plurality of light emitting display elements or pixels disposed over the display substrate, a first circular polarizer disposed over the display substrate and the display pixel circuitry, and a transparent cover sheet disposed over the first circular polarizer. A top surface of the transparent cover sheet provides a sensing surface for an object such as a finger. The optical sensor system also includes a sensor layer disposed below the display substrate, the sensor layer having a plurality of photosensors, and a second circular polarizer disposed between the sensor layer and the display substrate.