This issue is extremely annoying and persists even after the latest MacOS 12.4 update. I have done extensive testing on a large number of M1 MBPs and can confirm that this problem is found on to the smaller trackpad on the 13" and 14" M1 MBPs not the 16" model. This, and the fact that Apple hasn't fixed this yet via updates, leads me to think that it's actually a hardware issue that they won't admit. Side-by-side comparison of the 14" and 16" trackpads leaves me with the impression that the smaller trackpad has a slightly more coarse (or more "non-stick) surface that doesn't register finger touch as well as the larger trackpad. This means that the computer misses taps as well as has an overall inferior drag function. I have confirmed the following issues on a relatively large number of 14" M1 MBPs. Likewise, I have not yet found a 14" M1 MBP that doesn't have the issue.
Issues:
1) Multiple taps with modifier keys, e.g. selecting ranges or individual files in Finder with shift or cmd, 2nd tap consistently fails unless one waits 1-2 seconds after pressing the modifier key.
2) Double taps frequently fail, or only one tap is registered twice, so the file is renamed instead of opened.
3) Pinch-to-zoom works unreliably and often loses one finger during a motion, stopping the zoom and just moving the cursor from that point.
4) Cmd+tap to open a link in a new tab in Safari fails consistently.
5) Dragging (tap-tap-hold and drag) works unreliably.
6) Double-tapping to select a word fails frequently.