I've noticed lot of people suggest the lookup reciept but it wouldn't work, nor be allowed. One of the important aspects of the voting procedure it that the vote itself is entirely anonomous. You might not understand that, but in the same way that your religious beliefs (or lack thereof) could affect your standing in society, so can your political affiliation. If you get a receipt that ties you to your vote, then an outsider could see your ticket and your vote would be known, thus those who are worried, would simply not vote, bad for democracy!
You're quite right about an electronic vote not being inherently bad--The problem I see with the current crop of electronic voting machines is that they are far to complex, why on earth do they need to be? Surely it can be a custom chip running, the complexity of it should match a toddlers toy. All it needs are buttons with pictures on them (analog or digital) for each of the candidates, a big okay button.
To record it you just need a simple tally and a receipt being printed on a paper spool behind a glass cover, so the voter can be sure that it's been recorded. The spool can be run through a OCR machine, or looked at manually to verify the vote.
Throw a development team together and give them a couple of million, and you'll have a cheap, working solution that will work anywhere around the country or world.