Trivalent europium ion doped yttrium oxide (Y2O3:Eu3+) luminescent thin films were grown on quartz fabric substrates using electron beam evaporation (EBE) technology, and then annealed by a pulsed CO2 laser with different resolutions from 30 to 45 dpi. Chemical composition, surface morphology, crystal structure, luminescent properties and CIE chromaticity coordinates of the Y2O3:Eu3+ deposited quartz fabric, as a function of laser resolution, were investigated by X-ray photoelectron spectrometer (XPS), Scanning Electron Microscope (SEM), X-ray Diffraction (XRD) and PG2000L fiber optic spectrometer, respectively. The results indicate that CO2 laser annealing is an efficient method to improve luminescent properties of Y2O3:Eu3+ thin films. Both the undamaged surface morphology and high crystallinity are positive factors for enhancing luminescent intensity of the deposited fabrics and the optimal luminescent properties of the film can be achieved when annealed at 35 dpi.