I think,

While computing the height of the neighboring input box, IE does not
respect the margin-bottom values. Hence, it computes the height of the
neighboring input box to be height+margin-bottom and aligns it
vertically bottom(which I think is default for input boxes)

You might solve/avoid this in numerous ways:

1. Giving the following style to the "Go" input box:

vertical-align: top

2. Refrain from adding bottom margins/paddings to input boxes. Add it
to the outer <div> or to the next following block.

Regards

- Mustafa
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