I put the "P" part of the gasket on the outside of the trunk lip. I did check another car that I believe had the original gasket still on it. And it looked right. I guess that I lucked out as my trunk does shut. But it shuts very tight. I would say that you should try to see if the gasket will set in after you put it on and then you will be able to close the trunk. I have noticed that after mine has been closed for some time it is a lot easier to close again. And vice versa when it has been left open for awhile.
I know when I was helping judge TR4's at a concours once that I was told that the TR4 trunk lid is one of the most difficult to get correct again after it has been removed from the car. So don't give up because it can be refitted to look very good, it just may not happen the first time you try it.
Charley Fitch
