I decided to remove a tag that was a typo and put the book in my TBR pile instead. I clicked on that tag from my tag cloud and got to the book, but I was unable to get the "options" menu to work. I had to click on the title of the book and the use the options menu there.

I'm willing to try to move my 1500+ tags to TBR, but that is going to make it take even longer...

It seems this is true whenever using a tag to see the list of books that share that tag, not just when viewing your own tags.  It's been reported to PBS and I'm sure it's something they'll fix.  Once that's done, it'll be alot easier for you to move those books!  Hope that helps.

edited to add:  the "More Options" button does still work on lists of books that are the result of a search.

Willa I sympathize. I've been moving my RL books to my RL.  I stopped actually putting books on my RL because they were going to combine the lists.  So I was just tagging them so I could see when perusing shelves for BOBs or bazaar deals. Of course then they added the feature of it showing you where you've listed the book.  So now I have to go and add all those tagged but not listed books to my RL.