I understand your frustration. The same thing happened to me the last time I ordered some parts from my LBS -- as a favor to give them some business because the parts were cheaper on line. I don't mind the extra money so much as the extra hassle and time. It seems like bike shops would recognize this. It is actually easier for much of us to buy parts on line, with much more selection and better prices. When I buy from the LBS, I have to make at least two trips to shop, wait for them to order the parts, wait for the parts to arrive, and pay higher prices plus sales tax. I don't mind paying the shop to install parts or do mechanical work that I can't handle, but it's frustrating when you try to throw them a bone and they don't appreciate it.
I recently asked my shop to install new pads on my brakes. It's something I could have done myself but I didn't mind paying them for the work and they actually had the parts in stock. When I went to pick it up, the shop had charged me $40 labor in addition to the cost of the pads. The mechanic charged me extra for "rotating" my tires -- even though I hadn't requested that and had actually just installed the tires so it wasn't needed. I might be looking for a new shop as well, even though this one is also most convenient for me.