It looks off. Idk.

I would remove it. It looks like it doesnt belong.

It does look a little odd, but normally, I try to avoid drywall corners if possible. I almost wonder if you need to have some molding coming down the wall? Or, maybe just go back to the drywall corner and not draw attention to it.

Thank you! I needed confirmation that it wasn’t just me!

HMMMMMM.... 🤔🤔🤔🤔

The wainscot panels and crown call for a completely cased opening, so keeping it should have a "pilaster" (built up of (2) 2x4) as if a door were installed there. If you do not do that, the casing should be removed.

It looks odd to me. Here is one way to handle it:

I would remove it, it look odd, like closing in a door that isn’t a door.

You guys are great! Thank you!

It would be ridiculous to remove all of the moulding and wainscoting. Make it a true cased opening like Mark suggested.

Yes, I think you just need the moulding down the wall.

If you don't want to case the entire opening, then don't case any part of the opening above the level of the chair rail. In other words, remove the awkward looking L part.

Remove it. Less is more.