That's the exact same setup I have.
To avoid any confusion, here is a quick video to show how to do it:
I am not sure why it doesn't work for some people, maybe try a different photo resolution and/or video resolution/fov? I use 1080p 30fps large fov, and large photo size most of the time.

The problem seems to be in resolution 1080i 60fps. Only in this mode I can't take the photo.

Im still having issues with camera settings. I do have the latest update, but my camera keeps defaulting back to 480p every time I start the app. I set it to 720 and then the next time I start the app, its back to 480. Im using a galaxy mega 6.3 with android 4.4.4. (just updated last week). Thanks.

I just tried and had no issues saving 720p 30 or 60fps. Is this only happening for the video resolution? Are other settings properly saved?
Are you using a vision or vision plus? Latest firmware versions?
Camera settings are permanently saved whenever you hide the camera settings window.
Something you could try is to reset the camera settings in general settings, reboot phone/phantom/RE and restart everything and try again.

Um using the Vision not the plus. It has all the updates so far. At moment I have my quad in pieces repairing it from a crash. I should have it back up and running this weekend. It only seems to happen using video. When i upload to youtube or facebook it only shows in 480. If I start the app and then go to camera settings, it also shows 480. I do know the last time I shut it down I had it set to 720 (after the crash and download of video) when i found out that it didnt upload in HD. It was back in 480 again. (every time i restart the app). I havent tryed to test it using still shots, only with video.

Is it normal that in resolution 1080i 60fps making photos is not available?  

That seems to be a limitation of the camera's abilities.

Hi, bought this just a minute ago so haven't had the chance to test it out on the field. I have played around with it tho and it looks amazing. My only question is when I set waypoints there is no line going to the first one and there is no info on how far or how long it will take to get to it. Is this normal?

Thanks

When you actually get to the place where you want to do the mission, if you start the phantom, connect to it, then load the mission, the first point will be linked to the phantom's position. We can't do that when you're offline for obvious reasons!

I tried this out yesterday and it all looked really good until I set my way points, I set the first point as close to me as poss so it goes straight up.
went up about 50 feet and stayed there, didn't reach the altitude I set and wouldn't move to the next way point. had to take manual control
to bring it back home.

any idea what went wrong please
cheers