so the two new wires are attached to the back of the new steering ring and then wired to the two tiptronic wires? thats it? Can u check the tiptronic up and down shift wires while the car is not moving?

To explain a bit better. On end of the SMG wiring has 4 ends, the other is 2 in a plug. The plug goes into the slip ring, then, trace the wire down the steering colum under the dash and around to the gearbox.
There you remove 2 centre wires that go into the plug, thats attached to the side of the gear selector. You put 2 wires from the end of the SMG kit into the slots were you removed the 2 gearbox wires, then you put the 2 gear box wires into the extra 2 wires at the end of the SMG kit.

Take a look here might help you a bit more
http://www.xoutpost.com/x5-e53-forum/...?highlight=smg

When you do this, does it deactivate the use of the floor shifter (Manual mode)?? Also, do you activate the paddles by placing the floor shifter into "M" like I do now?? Is Sport mode still available??

Everything still works exactially the same with the added bonus of steering wheel shift. You slide the shifter over like you would to select manual mode and then if you press either + or - on the paddles you can select your gears. Just works the same as the shifter.

Just saying: If you pull those two center wires out(leaving them unconnected from the shifter plug) than how can they work for the shifter if the circuit is transferred to the paddleshift?

As I said above the wires you pull out then connect to end on SMG wiring.

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