Magnetic induction tomography (MIT) attempts to image the passive electromagnetic properties (PEP) of an object by measuring the mutual inductances between pairs of coils placed around its periphery. It has been shown that the MIT data contain information that can be used to reconstruct all PEP parameters. In general PEP includes complex conductivity and permeability. This paper presents an image reconstruction technique in which conductivity and permeability are calculated by an inverse edge finite element scheme. The simultaneous reconstruction presented here will enhance scope of application of MIT technique.