Each version has some good changes. I am still using version 7, holding off from buying CS (8) because I am still waiting to see if Adobe fixes the general slowness some people experience.
If you go to Adobe's website you will see what the differences are from 7 to CS, the file browser apparently is supposed to be greatly improved. It also supports text on a path.
However, vs7 is a great upgrade, with a new style of brushes palette that I prefer over the older versions. It also comes with the healing brush, which once you start using along with the rubber stamp (clone tool) you will find indispensible.
Plus, you are sure to find great deals on legal copies of vs7 right now. I would highly recommend you upgrade to one or the other.
The higlight/shadows tool: reduces highlights, brighten shadows to improve your photos. VERY USEFUL. I use it every day.
The Colour Match feature: say you had two photos of a person you wanted side by side on a web page but the colour of one of the photos was slighly different from the other, just use the colour matcher and the desired photo will match the colours of the other.
The Filter Gallery: You can now preview all filters from one filter menu/window and you can stack filter effects on top of each other in their own filter layers so that they have an interactive effect on each other.
Yuendos, I'd go for CS if I was you, unless you want to scan US $20 bills. Then go for 7.
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