The line of sight (LOS) wind velocity can be determined from the incoherent Doppler lidar backscattering signals. Noise and interference in the measurement greatly degrade the inversion accuracy. In this paper, we apply the discrete wavelet denoising method by using biorthogonal wavelets and adopt a distancedependent thresholds algorithm to improve the accuracy of wind velocity measurement by incoherent Doppler lidar. The noisy simulation data are processed and compared with the true LOS wind velocity. The results are compared by the evaluation of both the standard deviation and correlation coefficient.The results suggest that wavelet denoising with distance-dependent thresholds can considerably reduce the noise and interfering turbulence for wind lidar measurement.