I am testing in-app purchase and restoration. Testing was going fine until I tried to switch test users.
In Settings ("iTunes & App Store"), I signed out as Test User 1 and started to sign in as Test User 2. Then the App Store gave me "This Apple ID has not yet been used in the iTunes Store, etc." and prompted for my credit card information, indicating it did not recognize this as a test user. I cancelled the sign-in.
Thinking that I would sign in during the IAP process from within my app, I then ran my app (via XCode). Then I received "Tap continue and sign in to check for downloads. [Environment: Sandbox]", but it wanted me to sign in as Test User 1, so I cancelled.
Eventually, I was able to complete IAP signed-in as Test User 2, but I continue to receive prompts to login as Test User 1, making it impossible to cleanly test the IAP process.