hm… i’m having the same problem… once i activated permalinks, a click on any post returns a 404 even though mod_rewrite is activated… any ideas?
here’s my .htaccess:
RewriteEngine On
RewriteBase /wp/
RewriteRule ^archives/category/(.*)/(feed|rdf|rss|rss2|atom)/?$ /wp/wp-feed.php?category_name=$1&feed=$2 [QSA]
RewriteRule ^archives/category/?(.*) /wp/index.php?category_name=$1 [QSA]
RewriteRule ^archives/author/(.*)/(feed|rdf|rss|rss2|atom)/?$ /wp/wp-feed.php?author_name=$1&feed=$2 [QSA]
RewriteRule ^archives/author/?(.*) /wp/index.php?author_name=$1 [QSA]
RewriteRule ^archives/([_0-9a-z-]+)?/?([0-9]+)?/?$ /wp/index.php?name=$1&page=$2 [QSA]
RewriteRule ^archives/([_0-9a-z-]+)/(feed|rdf|rss|rss2|atom)/?$ /wp/wp-feed.php?name=$1&feed=$2 [QSA]
RewriteRule ^archives/([_0-9a-z-]+)/trackback/?$ /wp/wp-trackback.php?name=$1 [QSA]
RewriteRule ^feed/?([_0-9a-z-]+)?/?$ /wp/wp-feed.php?feed=$1 [QSA]
RewriteRule ^comments/feed/?([_0-9a-z-]+)?/?$ /wp/wp-feed.php?feed=$1&withcomments=1 [QSA]