One of the procedures for increasing the number of multi-input and multi-output (MIMO) branches without increasing the computational cost for MIMO detection or multiplexing is to exploit parallel transmissions by using polarization multiplexing. In this paper the effectiveness of using polarization multiplexing is confirmed under the existence of polarization rotation, which is inevitably present in short-range multi-input and multi-output (SR-MIMO) channels with planar array antennas. It is confirmed that 8×8 SR-MIMO transmission system with polarization multiplexing has 60bit/s/Hz of channel capacity. This paper also shows a model for theoretical cross polarization discrimination (XPD) degradation, which is useful to calculate XPD degrada...