In this paper, the error performance of multiuser CDMA system with space-time coding is studied in Rician fading channel, and the corresponding bit error rate (BER) and symbol error rate (SER) analysis are presented. Based on the performance analysis, a simple and effective multiuser receiver scheme is developed. The scheme has linear decoding complexity when it compares to the existing scheme. Based on the performance analysis, and using mathematical manipulation, the BER and SER of multiuser space-time coded CDMA system are derived, respectively. As a result, accurate closed-form expressions of BER and SER are respectively obtained. With these expressions, the performance of multiuser CDMA system with space-time coding can be evaluated effectively. Computer simulation shows that the developed receiver scheme has almost the same performance as the existing scheme, and the theoretical BER and SER can match the corresponding simulation results well.