This behaviour (while still exists) has been improved with fixing the incorrect drawing of MIDI note borders.
The connection with what REAPER considers the "original recording" and how it plays back the MIDI item is sometimes confusing, and I'm not sure if it's worth keeping as it is.
I'd prefer an option Note-on sent only at the MIDI Note-on event, and have an option move note starts and ends with MIDI items, like you can choose for split behaviour.
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