Multicarrier Code Division Multiple Access (MCCDMA) is multicarrier based technique. It is a combination of Orthogonal Frequency Division Multiplexing (OFDM) and Code Division Multiple Access (CDMA) techniques. CDMA is a spread spectrum technique. It facilitates various signals to occupy a single transmission channel. It has a soft capacity. OFDM is a bandwidth efficient technique. MC-CDMA signal has high PAPR due to OFDM. In this paper to reduce PAPR, DCT based MCCDMA system is proposed in which MC-CDMA is realized by using a Discrete Cosine Transform (DCT). MC-CDMA system based on DCT is referred as DCT-MC-CDMA system. Conventionally MC-CDMA transmitters and receivers are realized by using Inverse Discrete Fourier transform (IDFT) and Discrete Fourier transform (DFT) respectively. This work analyzes the PAPR performance of DCT-MC-CDMA system for transmit and receive signals and compare the results with DFTMC-CDMA system.