Well, to answer part of my own previous posting, 0.2.5 seems to work fine with iTunes 6.0.5 now that I’ve had a chance to download and install it (from the nightlies page: http://nightlies.mt-daapd.org/).
I also find myself in the position that I can’t duplicate the “not working” behavior of 0.2.4. Neither can anyone else, either, apparently, as nobody has complained.
WRT to upgrading to nightlies, the dependencies you need are libid3tag (still), and sqlite 2.x or 3.x (2.x seems more stable).
If you want transcoding of ogg/vorbis, you need libogg and libvorbis. If you want transcoding of flac, you need lib FLAC (plus appropriate command-line decoders for both).