I have now discovered that this is related to the fact that my new blog is private – as soon as I make it public, image upload works fine. However, I cannot refer this issue to the support as I am in a different time zone, and support never seems to be working when I’m at the computer. Can anyone suggest a way how I could report this?
You could try sending an email to support[at]wordpress[dot]com but it’s not recommended; staff strongly prefer you to go through the contact system and don’t always read messages sent to that address. But if you don’t mind risking it, that’s something you could try. Otherwise the only way to contact them is during support hours, so you’d have to try and work that out. Hope that helps.
Are you sure that’s what the problem is? It doesn’t make any difference in either Firefox or IE on my computer. I still can’t get an upload tab. I did a few times and now nothing. Sure wish I had an answer. And my blog is public.