Well, couple suggestions. My first is to check with the rest of your crew. Is EVERYONE experiencing bad lag when doing naxx? If so, then there's not much any of you can do. Blizzard has said, repeatedly, that they know performance, especially in naxx, is subpar and claim they're working on it. If not everyone is having the problem, the problem lies somewhere between your computer pumping out FPS and the server, in which case it could be a lot of things.
Do the dumb stuff first-plug your ethernet line into a different port on the router. Make sure everything is tightly plugged in. If you're on wireless, make sure it's secure so some douchebag isn't streaming 1000 Mbps of porn while you're trying to raid. Check your task manager and process list to make sure you're not doing something weird that could clog the lines. If you've done all of that and you're not coming up with any solutions, I'd go to the blizzard tech support board. They'll have you do a trace on your connection and post the results and they usually are able to at least help you out with spotting where the problem is popping up.
Good luck.
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