Why is apple requiring me to enter a gift card credit card or itunes card in order set up a new account

why is apple requiring me to enter a gift card, credit card or itunes card in order to set up a new account

My assumption is because you aren't setting the account properly. You can't set up an Apple ID and then try to use it without a credit card unless you follow a very specific procedure which you obviously did not do.
You have to try to download a free app first - before you set up the ID - and then create the ID from the prompts. You set the ID up first and it doesn't work that way. You will have to either enter a credit card now and then delete it later, or start all over again with a new ID. If you start all over again, you have to sign out of the current ID in Settings>Store - tap your ID and sign out. You will also need another email address because you already associated your email address with the first ID.
This explains how to set up an Apple ID/iTunes account without a credit card.
http://support.apple.com/kb/ht2534
As I said, this is my assumption, if there is something else going on here, post back with something more detailed other than "why is Apple requiring ...." We can't possibly know why you can't do without some more information to go on.

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