Problems with replacing h1 tag

I am in the process of creating my custom theme, I am using the latest version of the Starkers theme as a starting pont. I want to replace the h1 tag with an image so this is what I did in header.php file:

[Munged code removed. Please post code or markup snippets between backticks or use the code button.]

here is the css:
header h1#logo{
width: 298px;
height: 113px;
text-indent: -9999px;
background: url(images/logo.jpg)no-repeat;
}

[please check the forum guidelines for posting code]

my problem is that the link tag is not working on the other pages, if I don’t have the background set to the image I get a missing image icon, please help I looked around and tried some of the solutions that I found but can’t seem to get it to work.