A method of estimating a time variant Orthogonal Frequency Division Multiplexing (OFDM) while eliminating Inter-carrier Interference (ICI) is disclosed, where the time variant channel matrix is estimated at channel taps using a Basis Expansion Model (BEM). The BEM method decomposes the time variant channel into a group of basis functions in the frequency domain. Coefficients are estimated using a sub-space tracking algorithm that decreases the dimensions of the coefficient matrix allowing for simpler calculation of the estimated signal. The coefficients matrix is estimated using a conjugate gradient iterative method that may be stopped after 6-8 iterations to arrive at an acceptable estimation. Finally, the transmitted data is estimated, again using the conjugate gradient method iteratively, wherein the conjugate gradient method is stopped after a small number of iterations.