You can now debug an XSLT document in .NET 2.0.
You have now the XslCompiledTransform object that is used to do the transformation in .NET 2.0.
When you create your instance of the XslCompiledTransform use this constructor:
XslCompiledTransform xsl = new XslCompiledTranform(true);
Then, set a break point on the Tranform method call, when the debugger is there, hit F11 to enter the XSLT document and start debugging your Xslt file!
Tags: XSLT, XPath, XML