As a major error of CO2 retrieval, atmospheric scattering effect hampers the application of satellite products. Effect of aerosol and combined effect of aerosol and ground surface are important source of atmospheric scattering, so it needs comprehensive consideration of scattering effect from aerosol and ground surface. Based on the continuum, strong and weak absorption part of three spectrum bands O2-A, CO2 1.6 μm and 2.06 μm, information of aerosol and albedo was analyzed, and improved full physics retrieval method was proposed, which can retrieve aerosol and albedo simultaneously to correct the scattering effect. Simulation study on CO2 error caused by aerosol and ground surface albedo CO2 error by correction method was carried out. CO2 error caused by aerosol optical depth and ground surface albedo can reach up to 8%, and CO2 error caused by different types of aerosol can reach up to 10%, while these two types of error can be controlled within 1% and 2% separately by this correction method, which shows that the method can correct the scattering effect effectively. Through evaluation of the results, the potential of this method for high precision satellite data retrieval is obvious, meanwhile, some problems which need to be noticed in real application were also pointed out.