I updated to the latest GCM app last night on my Note 8, and now I dont even recieve SMS notifications period, let alone hanging on the watch like they did with the previous version (no option to dismiss).
I ended up reverting to v3.22.2 seeing as how resetting both devices and re-pairing did not change anything. All other notifications were working as intended. After reverting I at least get the notifications again despite not being able to clear them.
(Posted this in the Vivoactive 3 forum earlier today and this seems to be a consistent issue among a few users that have commented thus far, so I figured it may extend past just that device.)