Phosphatases in cytosolic fractions, vacuoles, and vacuolar membranes from barley (Hordeum vulgare L.) leaves were found to dephosphorylate inositol 1,4,5-trisphosphate (IP3). 1,4-inositol bisphosphate (1,4-IP2) is the main product of IP3 dephosphorylation by the cytosolic fraction. The activity was strictly Mg2+ dependent. In contrast, IP3 dephosphorylation activity of both the soluble vacuolar and the tonoplast fractions was inhibited up to 50% by Mg2+. When vacuolar membranes were incubated with IP3, 1,4-IP2 was produced only under neutral and slightly alkaline conditions. Under acidic conditions, however, dephosphorylation yielded putative 4,5-inositol bisphosphate. Li+ (20 mM) and Ca2+ (100 [mu]M) strongly inhibited activity in the soluble vacuolar fraction but had only a slight effect on the activities of the cytosolic and tonoplast fractions.