Yes, it seems as a bug, but I can see that it works fine in 8.5 version. Unfortunately, it has not been released yet.
As for workarounds, I can suggest one option:
You can search for items directly in the paste special window. When open, sort by the column you wish to search in, and start typing the information (this is assuming you have browse filtering turned off).
Let me know if I can be of further assistance.