...this is what is happening.... you are seeing the solid colour of ur wallpaper background in a box sized to suit the icon labels. This box shows thru ur current wallpaper, ie the dog's breakfast that u have currently.. :) [ dunno what the prob is, i can see it...]. You can either tone down the colour of your background to something u like via desktop properties [rightclick the desktop], or go to control panel > system > advanced > performance settings and ticking the "use drop shadows for icons..." box if u wish to have a custom setting, or select the best performance button..
there is a blue shadow underneath my icons on my desktop. i looked at the visual styles but couldn't find anything how do i get rid of it.
Here's the FIX. Althought you can start with no 3 wich worked in my case, try 1,2 too if necessary.
FIX SOLUTION for blue shadow
To have transparent icons:
1) Right-click My Computer. On the "Advanced" tab, under "Performance" click "Settings."
On the "Visual Effects" tab, make sure
the box "Use drop shadows for icon labels" is checked.
2) Right-click on the Desktop, and make sure that "Arrange Icons by" "Lock
Web items" is not checked.
3) Right-click on the Desktop, and choose Properties. Othe "Desktop" tab,
click "Customize Desktop," then on the "Web" tab, uncheck all boxes.
Make sure any Wallpaper is an image file. Html will stop the transparency.