In the digital delay signal processing of laser target shooting, it is often difficult for traditional filtering algorithms to effectively filter out noise interference, resulting in signal distortion. In order to solve this problem, this paper designs a digital delay signal filtering algorithm based on time-frequency peak. The signal-to-noise ratio of laser target digital delay signal is calculated, and the waveform equation of laser target digital delay signal is constructed to analyze the waveform characteristics of laser target digital delay signal. The instantaneous frequency is estimated by time-frequency peak, and the effective signal of time-frequency peak estimation is obtained. According to the standard variance of time-varying window, the confidence interval is divided, and the instantaneous frequency confidence range is determined to suppress noise interference. Two filtering criteria are set by energy and scale transformation, so as to complete the filtering of digital delay signal. The experimental results show that the range of signal amplitude fluctuation of the designed algorithm is [-10 dB~8 dB], which is consistent with the ideal range and has accurate filtering effect.