Abstract-In image/video transmission system block or macro block classification has frequently been used to classify similar types of properties of block like spectral, statistical, perceptual etc. The bit allocation algorithm distribute total number of bits among a finite set of quantizer to maximize the quality. This paper proposed joint source channel coding (JSCC) algorithm for image transmission with: (i) optimum bit allocation for classified blocks (ii) Unequal Error Protection (UEP) at channel coding stage to minimize the total distortion. The bit allocation applied at two levels. First distribute allocate source rate between three different classes and second each class individual transforms coefficient bit assignment. The simulation results shows that using this algorithm approximately 3-4 dB improvement compare to conventional UEP and further 1.5-2 dB improvement using optimum bit allocation algorithm.