In this paper, we investigate the smoothness of multivariate refinable functions with infinitely supported masks and an isotropic dilation matrix. Using some methods as in [R.Q. Jia, Characterization of smoothness of multivariate refinable functions in Sobolev spaces, Trans. Amer. Math. Soc. 351 (1999) 4089-4112], we characterize the optimal smoothness of multivariate refinable functions with polynomially decaying masks and an isotropic dilation matrix. Our characterizations extend some of the main results of the above mentioned paper with finitely supported masks to the case in which masks are infinitely supported.