I've done what I shouldn't have done and written 4 modules (6 hours or so) without running any tests along the way.
I have a method inside of /mydir/__init__.py called get_hash(), and a class inside of /mydir/utils.py called SpamClass.
/mydir/utils.py imports get_hash() from /mydir/__init__. 
/mydir/__init__.py imports SpamClass from /mydir/utils.py.
Both the class and the method work fine on their own but for some reason if I try to import /mydir/, I get an import error saying "Cannot import name get_hash" from /mydir/__init__.py.
The only stack trace is the line saying that __init__.py imported SpamClass. The next line is where the error occurs in in SpamClass when trying to import get_hash. Why is this?
To add to what the others have said, another good approach to avoiding circular import problems is to avoid from module import stuff.
If you just do standard import module at the top of each script, and write module.stuff in your functions, then by the time those functions run, the import will have finished and the module members will all be available.
You then also don't have to worry about situations where some modules can update/change one of their members (or have it monkey-patched by a naughty third party). If you'd imported from the module, you'd still have your old, out-of-date copy of the member.
Personally, I only use from-import for simple, dependency-free members that I'm likely to refer to a lot: in particular, symbolic constants.
Python - import error