Everything is default except inRect is always larger than outRect. perhaps the following example images are very telling:
http://www.theimagingfactory.com/examples/padding.jpg
image 1 (top left) shows a copy of inData with padding = plugInDoesNotWantPadding (zoom rate = 1)
image 2 (top right) shows a copy of inData with padding = plugInWantsEdgeReplication (zoom rate = 1)
Image 3 (bottom) is a full preview at a zoom rate of 10% of a 10x enlarged original.
The blocks are distinctive (and obviously corrupt the image data as well). They seem to encompass exactly a quart of the true padding space.