Hi, I don't know if I can solve your problem but I can assure you that it can work. My wife has an Apple laptop and was printing stuff to the printer attached to the PC just this weekend.
I'm no expert but I think you have got past all the major hurdles by getting the mac and PC networked and remembering to "share" the printer. In the mac side are you trying to do IP printing? I think you need to look specifically for "windows printing" when adding the printer. On 10.4 (Tiger) open print and fax from the system preferences, click on the plus sign to add a printer then ignore the stuff at the top and middle and go straight for the "more printers" button at the bottom. Select windows printing in the top box and your windows group in the next then your PC printer should appear.
On 10.3 (Panther) it is similar, open "print and fax" then click the setup printers button then the add printer icon. The first selector will give you the "windows printing" option.
I hope this helps ..... good luck.....
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