This paper presents a non-disruptive handoff protocol with dynamic channel reservation for wireless ATM networks. A mobile host (MH) in a wireless network is highly possible to travel from one radio cell to another radio cell. It is therefore very important to design an efficient handoff protocol for wireless ATM networks to re-establish ATM virtual circuit as soon as handoff request is initiated. In our protocol design, an MH sends a handoff request to its original basestation (BS), which in turn forwards this request to its control function. One of the innovative designs of this protocol is to perform non-disruptive handoff with dynamic channel reservation over ATM virtual circuit, regardless of which radio cell the MH is moving to. For the purpose of evaluation, a three-dimensional Marcov chain is built to analyze the handoff blocking probability with and without dynamic channel reservation. The analytical results are verified by a simulation study, which has shown that a non-disruptive handoff with dynamic channel reservation does achieve much lower blocking probability under high traffic load and significantly reduce the average waiting time during handoff.