Is it really important to use XHTML when using AJAX?

Nope - HTML works just as well with "AJAX," as DOM still applies. You just need to be sure that you're using a strict doctype. So, HTML 4.01 Strict or XHTML 1.0 would both work, but not the transitional stuff. It's important or else it'd be difficult for the client to figure out how to manipulate the document, etc.
 
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