In the first half of this paper, a reformulated general lamination theory based on the layerwise higher-order displacement assumptions is proposed. The proposed general theory is capable of precise laminate modellings responding to analysis demands and hence is very accurate compared to the conventional classical theories. In particular, it is important to note that it can precisely evaluate transverse and interlaminar stresses. In the latter half of this paper, a layerwise higher-order finite element is developed as a specific application of the proposed general theory. The displacement continuity conditions at the layer interfaces are introduced by invoking the penalty method. A numerical example by the developed element is carried out and compared to the exact solutions for confirming its convergence, accuracy and superiority over the conventional solutions.