Is it just a display problem or am I supposed to see Windows icons and OS X icons on the desktop at the same time while using Coherence? I find that I can switch back and forth between the two desktops by clicking the show desktop button on the Windows taskbar. I'm also finding that when I run certain Windows apps, I can move the window around and see the icons appear and disappear. I've even tried reinstalling Parallels Tools. Any help would be appreciated. Thanks!
Do you mean that you're simultaneously seeing (for instance) your My Computer icon visible on your Mac desktop along with your other icons from OS X? When I click "show Desktop" in coherence mode it just toggles the Windows desktop on and off (or hidden and revealed), effectively covering the Mac desktop completely or revealing it. Some windows apps (for instance Live Messenger) draw their contents into a window, part of which, such as the menu bar, etc., is made invisible to the user. In coherence mode windows such as that will appear to be surrounded by a "ghost piece" of the Windows desktop, corresponding to the normally invisible parts of the window. When you move those around, they will reveal the desktop contents that they are passing over.