A friend texted me from an AT&T store in California as he was just about to buy an iPhone 5S 32GB *upgrade* at $299 for his daughter. AT&T was charging $68 in tax for the $299 phone. They said that they tax on the "retail" price, not on the upgrade price.
I checked my receipt for my iPhone 5S 64GB I bought via the Apple Store online back in October (I'm in Wash. state) and I paid just $37.91 in tax. Is it true that in California you pay tax on the retail price when upgrading? And is this also true when ordering online via the Apple Store if you are a California resident? -K
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