In Atahualpa Theme Options, Header Area, Style and edit HEADER AREA, I have Show Blog Title? set to No and the same thing for the Tagline, yet its still showing up on the site:

http://playing-with-myself.com/

What can I do to properly hide them?

Thanks!

I don't see the title or tagline but I did notice you didn't have the sub menu bug fix in place. Take a look at the stickies for the "New Versions and Updating" forum.

You have wp-supercahce running. You should never activate this plugin when making changes to the site, it can cause delays before you see the changes show up