Also check free tools to get iconized Taskbar: Taskbar Iconizer and Taskbaric
Windows 7 taskbar doesn't show text in application buttons, it only show their icons. On the other hand previous Windows versions used to show icon as well as text in all application's taskbar buttons.
Actually Windows 7 new iconized taskbar feature looks good and it also saves space in taskbar area. If you want to have the same feature in Windows XP, Vista, Server 2003, 2008, etc, then you can get it after following a few simple and easy steps.
Before applying this tutorial:

After applying this tutorial:
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So here are the steps to follow:
1. Type regedit in RUN dialog box and press Enter. It'll open Registry Editor. Now go to following key:
HKEY_CURRENT_USER\Control Panel\Desktop\WindowMetrics
2. In right-side pane, create a new String value MinWidth and set its value to -255

3. That's it. Log off or restart your system and get ready to have iconized taskbar in your system.
4. To restore default taskbar behavior, delete the MinWidth String value and log off or restart your system.
PS: If you want a ready-made registry script which can do the task automatically, then download following ZIP file, extract it and then run the Install.reg file. It'll ask for confirmation, accept it:
This article was posted by VG in following section: Windows Vista, Windows XP.
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VG
^^ Its a fault of theme not the registry hack. Some themes are not compatible with this hack. If you use SevenVG theme, it'll not show the letter.
Sparksman
hi VG
thx for your reply. and yes, I already read about those fault in of the recent comments. but thx again for your quick answer! *thumbsup*
bye
Sparksman
shrestha
hey thnx a lot:)
btw ur theme is superb can u tell me from where i can download it?? and i use win xp.....will it be compatible with it??
plz mail me at shresthaverma@yahoo.com
VG
^^ Its for Windows Vista. You can take a look at Windows XP themes at following link:
http://www.askvg.com/category/xp-themes/
sudhir
How to change the taskbar to small icons in reggistry for all users
VG
^^ Use following key in Step 1:
HKEY_USERS\.default\Control Panel\Desktop\WindowMetrics
Byron
Help!i have a windows 7 theme on my vista and when i do this the icon isn't in the middle of the box and it is down in the left :/ anyone can help?(i have -275 and i tried -255 but it didnt work either)
VG
^^ The program icon position is set by the theme not registry.
veyrontarga
Hey VG, I used your regedit thingy, but can I make the icons in the boxes bigger?
VG
^^ You can use ViGlance for bigger icons.