ITunes shows my iPhone as over capacity, iPhone disagrees (screenshots)

I turned on iTunes Match yesterday on my Mac & iPhone 4S. I deleted all of the files on my Mac and redownloaded the 256kb/sec versions, and turned off music syncing on my iPhone, sync'd (wiped the music), turned it off, turned it on again, then let it sync all of the music from the cloud overnight.
However, now when I sync my iPhone 4S on my Mac it says that the music has filled (over filled, infact) the iPhone 4S and it's over capacity by 3.2gb with music using up around 10Gb or more of storage, yet the iPhone itself thinks only 5.9gb is in use.
I sync'd it with iTunes again and it hasn't made any difference.
iTunes says 11.8gb of audio and 3.2gb over capacity:
iPhone 4S says that only 5.8gb is in use for music, and 2.8gb is available:
Any ideas?

I'm seeing this also, on both my iPhone and iPad. I have enabled iTunes match, which has all started up and syncs (more or less) correctly but am getting frequent over capacity messages.
I think it's a cosmetic bug in the iTunes capacity gauge. With my devices, if I come out of iTunes and re-start, the gauge shows the correct capacity. That is, it matches what the iDevice reports.
But when I start a sync, the gauge seems to double in capacity the readings for those files stored in iTunes match.
I wonder if the gauge is showing what is already on the iDevice, PLUS what is available in iCloud?
In any case, it still all seems to work correctly - the iTunes sync runs ok on my Mac, and the device still has the correct amount of capacity available. It's just the gauge showing wrong.
Hopefully a fix will come. It is a bit annoying though

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http://tinyurl.com/85w6xwn
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