: In this paper, a reactive power sharing strategy that employs communication and the virtual impedance concept is proposed to enhance the accuracy of reactive power sharing in an islanded microgrid. Communication is utilized to facilitate the tuning of adaptive virtual impedances in order to compensate for the mismatch in voltage drops across feeders. Once the virtual impedances are tuned for a given load operating point, the strategy will result in accurate reactive power sharing even if communication is disrupted. If the load changes while communication is unavailable, the sharing accuracy is reduced, but the proposed strategy will still outperform the conventional droop control method. In addition, the reactive power sharing accuracy based on the proposed strategy is immune to the time delay in the communication channel. The sensitivity of the tuned controller parameters to changes in the system operating point is also explored. The control strategy is straight forward to implement and does not require knowledge of the feeder impedances. The feasibility and effectiveness of the proposed strategy are validated using simulation results for a 2-kva micro-grid