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Yes it generally works both ways. When I worked retail in another life, if an item went on sale within 30 days of your purchase, all you had to do was come in with your original receipt and get the difference back. Then we kept your original and gave you a new receipt of course.
But in the story it talks about gift receipts. What are these? Receipts without the price on it? If so, then of COURSE the policy is going to be to only give the lowest price they've been for sale at in X amount of time. The store is never going to accept the responsibility to look up what you really paid, lol. To hell with gift receipts.. get a real receipt and give that to the recipient. No need to be modest about what you've spent.
edit: however I will say that their system should be able to look at your original purchase date and price it accordingly.
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