Yeah ran into some difficulty with this as well....but pretty much figured that there's no way to both use the plugin folder as my working copy, and also keep the folder structure I need for deployment. (I actually did get Svn to import correctly, but updating wasn't working - probably due to the difference in folder names)
Which pretty much means I have to constantly copy to the plugin folder in order to test - and would just make development a pain. So for now I think I'll just stick with doing it without Subversion - as copying files into a folder when I'm ready to release and zipping it is a lot less annoying.
If I'm just misinformed, I'd welcome anybody to "prove me wrong"
