Mail Server Bouncing Mail

I am having a major problem since moving to 10.6 mail system. A lot of my mail is being bounced and never received, my logs are indicating this error,
NOQUEUE: reject: RCPT from mail2.onlineregister.com[207.66.2.58]: 554 5.7.1 <[email protected]>: Relay access denied;
This server still has 10.5 server on it's own RAID because I'm having to basically boot 10.5 up because that mail server works properly with no problems but I understand 10.6 has a completely different mail system.
Any ideas where how to troubleshoot, I have not made any DNS changes and set up this OS with the exact DNS info as previous so I'm stumped whats possibly configured wrong. I have read numerous threads on greylisting but is this cause of the problem, doesn't make sense to turn it off if it has a specific purpose.
server:~ srvadmin$ postconf -n
biff = no
command_directory = /usr/sbin
config_directory = /etc/postfix
content_filter = smtp-amavis:[127.0.0.1]:10024
daemon_directory = /usr/libexec/postfix
debug_peer_level = 2
enable_server_options = yes
header_checks = pcre:/etc/postfix/custom_header_checks
html_directory = /usr/share/doc/postfix/html
inet_interfaces = all
local_recipient_maps =
mail_owner = _postfix
mailbox_size_limit = 0
mailbox_transport = dovecot
mailq_path = /usr/bin/mailq
manpage_directory = /usr/share/man
maps_rbl_domains =
message_size_limit = 20971520
mydestination = $myhostname, localhost.$mydomain, localhost, $mydomain
mydomain = mydomain
mydomain_fallback = localhost
myhostname = server.mydomain.ca
mynetworks = 127.0.0.0/31,10.0.0.0/24
newaliases_path = /usr/bin/newaliases
queue_directory = /private/var/spool/postfix
readme_directory = /usr/share/doc/postfix
recipient_delimiter = +
relayhost =
sample_directory = /usr/share/doc/postfix/examples
sendmail_path = /usr/sbin/sendmail
setgid_group = _postdrop
smtpd_client_restrictions = permit_mynetworks permit_sasl_authenticated hash:/etc/postfix/smtpdreject cidr:/etc/postfix/smtpdreject.cidr reject_rbl_client zen.spamhaus.org permit
smtpd_enforce_tls = no
smtpd_helo_required = yes
smtpd_helo_restrictions = reject_invalid_helo_hostname reject_non_fqdn_helo_hostname
smtpd_pw_server_security_options = cram-md5
smtpd_recipient_restrictions = permit_sasl_authenticated permit_mynetworks  reject_unauth_destination check_policy_service unix:private/policy permit
smtpd_sasl_auth_enable = yes
smtpd_tls_CAfile = /etc/certificates/server.mydomain.ca.xxxxxxxxxxxxxxxxxAD6F994791FF96FBE9962.cha in.pem
smtpd_tls_cert_file = /etc/certificates/server.mydomain.ca.xxxxxxxxxxxxxxxxxAD6F994791FF96FBE9962.cer t.pem
smtpd_tls_exclude_ciphers = SSLv2, aNULL, ADH, eNULL
smtpd_tls_key_file = /etc/certificates/server.mydomain.ca.xxxxxxxxxxxxxxxxxAD6F994791FF96FBE9962.key .pem
smtpd_tls_loglevel = 0
smtpd_use_pw_server = yes
smtpd_use_tls = yes
tls_random_source = dev:/dev/urandom
unknown_local_recipient_reject_code = 550
virtual_alias_maps =
Thank you.

I made a couple of changes to the main.cf file.
Before:
mydomain = mydomain
mydestination = $myhostname, localhost.$mydomain, localhost,
After:
mydomain = mydomain.ca
mydestination = $myhostname, localhost.$mydomain, localhost, server.mydomain.ca
Now email from my work account are going through, at first I removed greylisting too but commented out the change and left it as default, still working but some emails are delayed which os ok,it's completely bouncing I'm concerned with. Time will see today as I have not been getting hardly an email which was unusual.

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    You need to look at your logs, if things are failing that is the first place to start to see what the system is reporting.
    Look at IMAP Log, Mail Server Log, SMTP Log in logs section of Server app.
    Also BTW your external DNS name for your mail server is 'mail.eclimb.org' but your server hostname looks to be 'sawtooth.eclimb.org'. Your server may not like that fact and also RFCs state & DNS best practices advise not to use CNAME alias for mail server machine. CNAMEs are OK for things like web & FTP but not SMTP (the MX record).
    See restrictions section in http://en.wikipedia.org/wiki/CNAME_record
    Anyway look at your logs first while you are doing test emails:
    in from Internet,
    out from LAN and
    between two email addresses in your domain using two hosts inside your LAN (i.e. message never goes out to Internet).

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