Circular inclusion exists widely in natural media, engineering materials and structures, and defects are usually found around the inclusion. When a composite material with circular inclusion and cracks is impacted by the dynamic load, on the one hand, the scattering field produced by the circular inclusion and cracks determines the dynamic stress concentration factor around the circular inclusion, and therefore determines whether the material is damaged or not; on the other hand, the scattering field also presents many characteristic parameters of the inclusion and cracks such as defect composition, location and shape, so the research on the scattering far-field is important to the geological prospects, seismological investigation, non-destruction evaluation and the other fields. In the ocean acoustics, the scattering far-field of the acoustic wave is also used in the under-water survey, object distinguishing and so on. In theory, the scattering solution of elastic waves is one of the basic topics of reverse problems on elastic wave. On the basis of literature, few paper concentrates on the scattering far-field solution of SH-wave by a circular inclusion and a linear crack around the inclusion. In the paper a new model and a new method are presented in order to investigate deeply on this kind problem. The paper uses the Green’s function to study the scattering far-field of an elastic wave by a circular inclusion and a linear crack. The Green’s function should be a fundamental solution of displacement field for an elastic space possessing a circular inclusion while bearing out-of-plane harmonic line source force at any point. In terms of the solution of SH-wave’s scattering by an elastic space with a circular inclusion, anti-plane stresses which are the same in quantity but opposite in direction to those mentioned before, are loaded at the region where the linear crack is in existent actually; Then, the expressions of the displacement and stresses are given when the circular inclusion and linear crack exist at the same time. When the special Green’s function has been constructed and close field solution has been illustrated, the far field of scattered wave is studied. The displacement mode of scattered wave at far field and scattering cross-section are given. At last, an example is given and its numerical results are discussed.