I ended up having the same problem, and after playing with it, I think it’s because the wrap width doesn’t appear to be set within the style sheet code. Try adding:
.tags {
width: 650px;
}
to the end of the style.css file.
It might not be a permanent fix, but it worked on my setup (aimeeisms.com) in both IE 7 and Firefox 3. I hope that helps!
-Aimee aka ironicbeauty
