According to marketing research, consumers nowadays spend more time in average on their mobile devices than TV. Such a rapid increase on the use of mobile devices shifts the priority capabilities of future digital TV broadcasting system from delivering services for fixed receivers to mobile broadcasting, including both TV signal and data. ATSC 3.0 was designed with advanced video/audio coding and physical layer technologies to meet the stringent demands of service coverage and quality of service. To improve the mobile service coverage performance for highly populated indoor and closed areas (airports, shopping malls, stadiums, etc.), it becomes necessary to deploy single-frequency-network (SFN) type low-power gap fillers, which can provide significantly higher signal strength to the indoor mobile devices. Conventionally, such SFN gap fillers require either fiber or dedicated microwave as distribution link, which could be prohibitively expensive when the number of gap fillers is large. Layered -division multiplexing (LDM) achieves bandwidth efficiency by combining two or more different QoS requirement services and transmitting them through the same time/frequency resource. Wireless In-Band Distribution Link (IDL) with LDM technique was previously proposed in [1] and further extended in 121 as an enabling technology in converting high-power high -tower Tv broadcasting system into low-power low-tower STN broadcasting system, since such technology avoids the expensive cost of deploying fiber backhaul links and/or requiring additional bandwidth for microwave wireless distribution links By embedding the IDL data in the LDM signal structure, a low-cost SFN relay station can he implemented as the Gap Filler (GF) using conventional ATSC 3.0 receivers. Since the IDL data is delivered using the same band as the mobile service signal, LDM IDL scheme also achieves high spectral efficiency. In this paper, we investigate the application of dual-polarization MIMO (DP-MIMO) transmission to further improve the spectral efficiency of LDM IDL. The rest of the paper is structured as follows. Section II introduces the signaling structure of LDM IDL with dual -polarization MIMO. Section III describes the dual-polarization channel model. Section IV provides Signal-to-Interference Noise Ratio (SINR) analysis. Section V presents the study of power imbalance. The paper is concluded in Section VI.