There was another thread about this, which I've tried. But there is one problem: the textarea doesn't shrink if you delete the content. I can't find any way to shrink it to the correct size - the clientHeight value comes back as the full size of the textarea, not its contents.

The code from that page is below. I'd appreciate any help or pointers.

function FitToContent(id, maxHeight)
{
   var text = id && id.style ? id : document.getElementById(id);
   if ( !text )
      return;

   var adjustedHeight = text.clientHeight;
   if ( !maxHeight || maxHeight > adjustedHeight )
   {
      adjustedHeight = Math.max(text.scrollHeight, adjustedHeight);
      if ( maxHeight )
         adjustedHeight = Math.min(maxHeight, adjustedHeight);
      if ( adjustedHeight > text.clientHeight )
         text.style.height = adjustedHeight + "px";
   }
}

window.onload = function() {
    document.getElementById("ta").onkeyup = function() {
      FitToContent( this, 500 )
    };
}