I put it in its own template, which I then linked to in the postbit. (I tested it by putting a non-conditional comment in there which does appear correctly).
Why shouldn't anything happen unless they've chosen izzet? Or do you mean nothing except comments? Even the izzet aren't showing their icon... The lines before and after are these:
Code:
<if condition="$show['popups']"><script type="text/javascript"> vbrep_register("$post[postid]")</script></if>
</if>
$clans
<if condition="$show['infractionlink']"><a href="infraction.php?$session[sessionurl]do=report&p=$post[postid]" rel="nofollow"><img class="inlineimg" src="$stylevar[imgdir_button]/infraction.gif" alt="<phrase 1="$post[username]">$vbphrase[add_infraction_for_x]</phrase>"
Where $clans is the template variable (I set up the plugins for that right as well) leading to the code posted above.