Existing Mueller Matrix polarization techniques that rely only on polarization properties are insufficient for accurate characterization of transparent objects. Embodiments of the present disclosure provide a method and system for Mueller Matrix polarimetric characterization of transparent object using optical properties along with the polarization properties to accurately characterize the transparent object. The polarization properties of are derived from a decomposed Mueller matrix element. Additionally, the method derives the optical properties by further subjecting the decomposed Mueller matrix element to Fresnel’s law-based analysis and a reverse Monte Carlo analysis to extract optical properties such as a material refractive index and a material attenuation index. Optical properties vary with changes in the material property caused due to several factors such as manufacturing defect, aberration, inclusion of an impurity such as bubble or dust etc. Thus, considering the optical properties along with the polarization properties enables enhanced, accurate characterization of the transparent object.