We present an extension of the Dynamic Smagorinsky model (DSM) to parameterize the subgrid-scale momentum diffusion in global circulation models (GCM) In contrast to the standard approach, the test filter to determine the Smagorinsky parameter is separated from the resolution scale to exclude potential interactions. In addition, in GCMs the horizontal and vertical scales are usually treated differently due to gravity. While for the turbulent vertical diffusion of horizontal momentum a classical Smagorinsky approach is common, the respective horizontal diffusion in the free atmosphere is usually neglected. We show how to formulate the generalized DSM as subgrid-scale horizontal momentum diffusion to run stably a GCM without hyperdiffusion. Furthermore, the idea of stratified turbulence is applied to find a dynamic approach also for the vertical diffusion. Both improvements allow for a realistic spectrum of kinetic energy (almost) up to the resolution scale.