The present invention discloses a candidate list augmentation apparatus with dynamic compensation in the coded MIMO systems. The proposed path augmentation technique in the present invention can expand the candidate paths derived from the detector to a distinct and larger list before computing the soft value of each bit. Consequently, the detector is allowed to deliver a smaller list, leading to reduction in computation complexity. Moreover, an additive correction term is introduced to dynamically compensate the approximation inaccuracy in the soft value generation, which improves the efficiency and performance of the coded MIMO systems.