You are of course right, but I'm not sure if people in the US ordering over the internet actually pay sales tax on devices ordered from the google play store. It might depend on what state they're in though.
The 32GB came out to about $445 after taxes and shipping in WA, a state with a relatively higher sales tax but no income tax. Since used 16GB iPhone 5/5c models are going for around $400 on Craigslist in the Seattle area, I think this phone is something of a bargain.