Preheat oven to 350°F (175°C). Grease and flour a 10-inch Bundt pan.
In a large bowl, cream butter and sugar until light and fluffy. Add eggs one at a time, beating well after each addition. Stir in vanilla.
In another bowl, whisk together flour, baking powder, baking soda, and salt. Add to the creamed mixture alternately with sour cream, beginning and ending with flour mixture. Fold in peaches.
Pour batter into prepared pan. Bake for 70 minutes or until a toothpick inserted into the center comes out clean. Cool in pan for 10 minutes, then turn out onto a wire rack to cool completely.