I’ve just released a preview that fixes the problem here:
The “fix” is to just not show tag values in the Tag With… pallet. They were never really (as far as I remember anyway) intended to be in that UI. Instead they were just showing up as a side effect of adding tag values to the sidebar. I can see how they might be useful in Tag With… pallet, but it would take quite a bit of logic to make it all work out. So I’m just taking them out for now.