Noted this under different issue, reposting as new: experiencing this myself, to clarify, when click on UPLOAD button for each of multiple image attaches, taxonomy dropdown 'resets' and does so for each upload. Seems like page is refreshed to original status though other fields do not change.

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sun’s picture

Status: Active » Closed (won't fix)

This would be a bug in Taxonomy module in Drupal core. However, I never experienced this bug, so I have to guess that some other contrib module you have installed is guilty. Possible candidate: http://drupal.org/project/betterselect