The dependence of the magnetoimpedance effect (MI) on magnetic properties has been investigated in mumetal thin films prepared by rf magnetron sputtering. Coercivity of thin films prepared at 400 W was about 0.4 Oe, and the magnetic anisotropy field of films deposited under a uniaxial magnetic field decreased with increasing film thickness. The saturation magnetization of mumetal films increased with rising input power and thickness and was smaller than that of permalloy films. Transverse incremental Permeability (TPR) of films of 1$mu m$ thick increased with increasing effective permeability. The magneto impedance ratio (MIR) was proportional to TPR in films 1$mu m$ thick but in spite of lower effective permeability at higher thicknesses, MIR increased due to skin effect. The height of the double peaks in the MIR curves decreased with decreasing anisotropy and thickness. The maximum MIR value for a 4$mu m$ thick 75% at 36.5 MHz.