What is the best practice for formatting html emails?
I've been using table layouts. Can modern browser layouts be used now?
BEST practice is to not use HTML e-mails. They are one of the many indicators for ranking a mail as spam, there shouldn't be anything in an e-mail to warrant the use of such formatting, etc, etc.
That said, IF you send HTML e-mails make it multi-part so you can send both the formatted HTML and a plaintext version.
As to the mail clients themselves, they are still quite limited. The rule of thumb remains what it's been for over 20 years. Pretend HTML 4 and CSS do not exist. You cannot rely on either working properly. You are stuck writing HTML 3.2 which is just another reason NOT to use HTML e-mails.
You want a pretty formatted page, put it on a website, not in an e-mail!