What I'm about to say is more of an opinion than anything. I say that because this topic is of much debate.
I personally think that bit resolution is more important that sample rate, although even jumping from 16bit to 24bit is subtle. There's no question that 24bit converters have the potential to be much better than 16bit converters (especially when you see your noise floor down under -96db!), but whether you actually record using 24 or 16 bit resolution with those converters might not make as much of a difference as you might think.
But anyways, the reason I dislike 96khz recording is that it more than doubles the amount of data your system has to work with for little audible gain (on a consumer system in a home studio etc). Any improvement in fidelity can surely be lost by sub-par downsampling technique. Also, a lot of plugins will not work at 96k, even some of the more expensive ones. Then you have to deal with the fact that you can't work with multiple sample rates in a single project without first converting everything to one sample rate. So if you're using fruity loops for some stuff, for example, you can leave the tracks at 16bit even if your project is 24bit, but you'll have to convert them to 96khz if that's what the rest of your audio is at. It is possible that some software will automatically convert sample rates in realtime, but are you going to trust what you're hearing?
In theory, higher sample rate and greater bit resolution are good ideas. The more data a reverb plugin has to work with, for example, the better it should sound. The higher the bit resolution, the smoother your edits can be. And so on....
If you're not a professional with a professional setup, then do not use 96khz unless you've proven to yourself that you can hear the difference. It will drastically reduce the capabilities of your DAW. In fact, don't use 48khz either unless you can prove to yourself that the difference is noticable.
Personally, I record at 24/44...it's very easy to work with and sounds as good as I expect it to.
Now don't turn my opinion here against me. I'm not saying that a 24/96 soundcard isn't important. I'm saying that the *numbers* are less important than the sound of the card itself. If you jump up to something like a Delta from a soundblaster, you will immediately notice a drastic improvement in sound quality, EVEN if you record at 16/44! The converters are better...the card is better...the sound is better. That is what is important. Don't get too hung up on magazine hype!
Slackmaster 2000