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What would recommend? For $1000 you're not going to get L glass, or any fancy Nikon glass AND a body. The 40D is hard to beat right now ($200 rebate).I second Dao's remarks, spend less on the body and more on the glass.
I did not realize the 70-200mm L lens existed for such a price! Thanks for mentioning that I may need to start saving for it.
XTi Rebel Body
50mm f/1.8(will i need a wider lens? how big is 50mm?) i heard it was good
sigma AF 70-300mm APO macro lens
and
A 20$ tripod
The Sigma AF 70-300mm APO macro lens is okay lens. Nothing really stand out. The Canon 55-250mm EF-S IS lens maybe better (if the extra range is not that critical) But it is $280 at Adorama
For me, the 50mm f/1.8 is pretty sharp for the price. But personally, I think it is not wide enough. But I still like it a lot.
Also, Tamron AF 17-35mm f/2.8-4 Di LD seems to be pretty good for the price. Adorama sell it for $289 after rebate
But $280 + $290 is equal to $570 already. That leave you $430 for the camera.
For me personally, I will get the camera body and the Tamron AF 17-35mm f/2.8-4 Di LD $290 or Tamron SP AF 17 - 50mm f/2.8 XR DI-II LD $420 and save more for a good telephoto zoom such as the Canon 70-200mm F4 L $600 and add a 105mm Sigma prime later. But since the 50mm f1.8 is so cheap, so I need to get that as well.