I have a CSS like this
ul { list-style-image:url(images/bulletArrow.gif); } ul li { background: url(images/hr.gif) no-repeat left bottom; padding: 5
I see you're removing left padding for list items. For IE, you need to do the same with the left margin - either completely remove it (set to zero) or make it something smaller than the default. Then your list items will align nicely.