Empty managed metadata fields for contributors

I ran into this really funny issue when some of site users would not see values in managed metadata columns on a list or document library. They were contributors so they could add the item, choose metadata terms for these columns but when they saved the item, they appeared blank on a view.
Site collection admins were able to see values so they have been saved.

It turned out that it was permission problem, but not to the affected list itself but to the hidden taxonomy list. Every site collection has a list like this, you can find it by browsing [site url]/Lists/TaxonomyHiddenList Hidden taxonomy list is where you find that term sets are actually special lookup columns, I hate that implementation by the way.. not much changed in SP 2013…

Anyway, permissions for this list were custom, and NT AUTHORITY\authenticated users Read permission was not there, I mean – it had All authenticated users
but it was not effective. The cause for that could be that the site was exported from office 365 and imported to on-premise SharePoint. All authenticated users groups were Claims group. I have added Read permission for “NT AUTHORITY\authenticated users” and problem went away.

Permissions before:

All Authenticated Users (c:0(.s|true)
Domain Group Read

System Account (SHAREPOINT\system)
User Full Control

Permissions after:

All Authenticated Users (c:0(.s|true)
Domain Group Read

System Account (SHAREPOINT\system)
User Full Control

NT AUTHORITY\authenticated users
Domain Group Read

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