In iOS 7, if I flag or remove the flag from an email in the web client, the flag displays or is removed properly on my iPhone 5s.

However, if I flag an email on my iPhone 5s, the flag DOES NOT show in the web client. But, I CAN REMOVE the flag from an email on my iPhone 5s and the flag IS REMOVED from the email in the web client.

Basically, if I flag an email on my iPhone 5s, it does not show up in the web client. But I can remove the flag from an email and it is removed in the web client.

I set my email up (custom, Microsoft Live-hosted domain) on my iPhone 5s as Exchange ActiveSync or Outlook (both gave the same result as above). So since both gave the same results, I just use the Exchange ActiveSync settings:

Email: full email address
Server: bay-m.hotmail.com (I entered m.hotmail.com and it changed itself to bay-m.hotmail.com)
Domain: <blank>
Username: full email address
Password: <password>

In advanced settings S/MIME is off.

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