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We present an image-based method for propagating area light illumination through a layered depth image (LDI) to generate soft shadows from opaque and nonrefractive transparent objects. In our approach, using the depth peeling technique, we render an LDI from a reference light sample on a planar light source. Light illumination of all pixels in an LDI is then determined for all the other sample points via warping, an image-based rendering technique, which approximates ray tracing in our method. We use an image-warping equation and McMillan's warp ordering algorithm to find the intersections between rays and polygons and to find the order of intersections. Experiments for opaque and nonrefractive transparent objects are presented. Results indicate our approach generates soft shadows fast and effectively. Advantages and disadvantages of the proposed method are also discussed.