I've only been here for dinner and not the night club, so I cannot comment on the night club part of Tao.
While the ambiance here is spacious with a cool decor, the food here is overpriced and not worth it. Sure, you may see celebrities here, but really, who cares? I care more about the taste of my food.
And when you ask for water, they ask you if you want plain tap water or bottled water. They almost make you feel like a schmuck for drinking ordinary tap water. They serve Voss water in a big bottle here.
We got the usual sushi rolls and steak entree. The food is okay, about what you expect from this kind of place. The people are gorgeous so if you're into people watching, you'll probably like this place. But otherwise, it's a one time experience for me.