This is an extremely simple document that showcases some of \DIFaddbegin \DIFadd{the }\DIFaddend latexdiff features.
Type
\begin{verbatim}
latexdiff -t UNDERLINE example-draft.tex example-rev.tex > example-diff.tex
\end{verbatim}
to create the difference file. You can inspect this file directly. Then run either
\begin{verbatim}
pdflatex example-diff.tex
xpdf example-diff.pdf
\end{verbatim}
or
\begin{verbatim}
latex example-diff.tex
dvips -o example-diff.ps example-diff.dvi
gv example-diff.ps
\end{verbatim}
to display the markup.
\section*{\DIFdelbegin \DIFdel{Another }\DIFdelend \DIFaddbegin \DIFadd{Yet another }\DIFaddend section title}
\DIFdelbegin \DIFdel{A paragraph with a line only in the draft document. }\DIFdelend More things could be said were it not for the constraints of time and space.
\DIFaddbegin \DIFadd{A paragraph with a line only in the revised document. }\DIFaddend More things could be
said were it not for the constraints of time and space.
And here is a \DIFdelbegin \DIFdel{tipo}\DIFdelend \DIFaddbegin \DIFadd{typo}\DIFaddend .
And \DIFdelbegin \DIFdel{sometimes a whole paragraph gets completely rewritten. In this
case latexdiff marks up the whole paragraph even if some words in it
are identical}\DIFdelend \DIFaddbegin \DIFadd{now for something completely different, with not a paragraph in sight}\DIFaddend .
No change,
no markup!
\end{document}