Capital gain on transaction fees? Seems like a bug?

I am transferring ETH between my own wallets, and Koinly calculates profits on this transfer. I wonder how this could be? This seems like a bug? Here is what I am seeing in the transaction cost analysis

You transferred 1 ETH from Ethereum - 1 to Ethereum (ETH & Tokens) - 2 and paid a transaction fee of 0.0026565 ETH (worth £6.87) on top. Your cost-basis for the 0.0026565 ETH transaction fee has been calculated using Shared Pool / Individuals (universal) from the investments listed below. Your final capital gain for this transaction is £2.74.

I also followed the instructions here: How Koinly handles transfers between your own wallets | Koinly Help Center

To turn OFF “Treat transfer fees as disposals”, but that didn’t seem to solve the problem