I have been reading this book, written by Margie Palatini and illustrated by Howard Fine, out loud to various children for the past 10 years--and it never gets old. Palatini weaves an entertaining tale about Gritch the Witch amidst clever allusions to various children's songs and stories. The illustrations are flat-out hilarious, and children will discover more and more in them each time you read together (which is pretty funny in itself).
This book screams to be read aloud, especially if you are not shy about doing the various characters in different voices. This is one of my all-time favorites, and I would recommend it for ages 3 and up. The rhyming and alliteration work extremely well for kids learning phonics. --Juno