The Bug:
Entities that die outside of simulation distance remain frozen in the death animation.
Steps to Reproduce:
Set your simulation distance to "2 chunks".
Summon a singular villager and run the following command multiple times in order to spawn lots more.
/execute at @e[type=minecraft:villager] run summon minecraft:villager
Ensure from this point forward that you do not move.
Increase the villagers' movement speed by a great amount.
/effect give @e[type=minecraft:villager] minecraft:speed 999 255 true
Wait around a minute for the villagers to exit your simulation distance.
Kill all villagers.
/kill @e[type=minecraft:villager]
Look around the edge of your simulation distance radius.
Observed Behavior:
Entities that die outside of simulation distance remain frozen in the death animation.
Expected Behavior:
Entities that die outside of simulation distance would not remain frozen in their death animations. The models of the deceased entities should be no longer visible as they have died.
There should be an option to enable dead bodies that is off by default.