Azurerm_storage_account incorrectly flags log configuration

Sure thing.

Diagnostic settings for azure storage accounts are actually 4 separate diagnostic settings depending on the service (Blob, Table, Queue, File) plus a main diagnostic setting for the account as a whole

A diagnostic setting for a storage account which would log transactions and enable all diagnostics for all types of storage within the storage account would look like this. You might also have a second set of the below to log directly to a storage account (for long term retention)

resource "azurerm_monitor_diagnostic_setting" "main_log_analytics" {
    name                       = "managed-by-terraform-log-analytics"
    log_analytics_workspace_id = azurerm_log_analytics_workspace.my_workspace.id
    target_resource_id         = azurerm_storage_account.my_storage_account.id

    metric {
        category = "Capacity"
        enabled  = true

        retention_policy {
            days    = 0
            enabled = false
        }
    }
    metric {
        category = "Transaction"
        enabled  = true

        retention_policy {
            days    = 0
            enabled = false
        }
    }
}

resource "azurerm_monitor_diagnostic_setting" "additional_log_analytics" {
    for_each = toset(["blob", "table", "queueServices", "fileServices"])

    name                       = "managed-by-terraform-log-analytics"
    log_analytics_workspace_id = azurerm_log_analytics_workspace.my_workspace.id
    target_resource_id         = "${azurerm_storage_account.my_storage_account.id}/${each.key}/default"

    log {
        category = "StorageDelete"
        enabled  = true

        retention_policy {
            days    = 0
            enabled = false
        }
    }
    log {
        category = "StorageRead"
        enabled  = true

        retention_policy {
            days    = 0
            enabled = false
        }
    }
    log {
        category = "StorageWrite"
        enabled  = true

        retention_policy {
            days    = 0
            enabled = false
        }
    }

    metric {
        category = "Capacity"
        enabled  = true

        retention_policy {
            days    = 0
            enabled = false
        }
    }
    metric {
        category = "Transaction"
        enabled  = true

        retention_policy {
            days    = 0
            enabled = false
        }
    }
}