SMART OBJECT CROPPING ISSUE WHEN USING OFFSET

I’m trying to create a half-drop pattern and need the Offset filter to work properly. However, when I use Offset on a smart object, the smart object gets cropped.

I need it to stop cropping so I can create the pattern correctly. It seems like a bug, because if I manually move the smart object outside the canvas, it doesn’t crop. It only crops when I use Offset. Any suggestions on how to fix this.