the expansion tank should at least be partly above the radiator. the reason being that any air that's in the system will float to the highest point in the system and you would rather that be your tank than the radiator. on my VW, the upper radiator hose has a small offshoot that plugs into the tank near the top. this allows any little air bubbles and some overflow coolant to flow back into the tank.
someone correct me if i'm wrong on this...,but HTH
pat
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www.ncvw.org
1993 VW Corrado VR6 - DSP15 (RIP)
1986 MB 190E 2.3L 16v - STX (SOLD)
1997 BMW M3 3.2L - BS for now