We report on a theoretical investigation of the nonlinear reflection that has been experimentally observed when Nd:YAG laser pulses interact with a dielectric-carbon particle suspension interface. This interaction leads to plasma formation, laser induced cavitation, and the formation of a vapor layer at the dielectric interface. This vapor layer results in total internal reflection. The theoretical fit to the experimental data shows that the calculated fluence threshold of the plasma formation process is 1 J/cm 2. The theory also shows that the formation time of the vapor interface is on the order of a few nanoseconds and depends on the concentration of the carbon particles in the suspension.