Usually all other things being equal a larger filter is slightly better for a few reasons,
Larger total oil capacity, witch slows oil degradation. A larger filter usually has more square inches of filtering media. this has less resistance to the flow of oil expressed as lower differential pressure across the filter that will allow slightly more oil pressure and flow to the engine, this allows the filter bypass valve to remain closed more often, this also slows the velocity and differential pressure of oil as it passes through the media giving the media a better chance of catching small particles. Also the larger filter will hold more contaminates or hold the same amount of contaminants with less clogging of the media.
But for some reason Toyota mounted the filter horizontally instead of the more common vertical, the filter can now drain and be as little as 1/3 full of oil on startup. This adds time for oil pressure to come up, the larger the capacity of the filter the longer the time. For some people increases start up rattle. This also plays hell with reading the dip stick and the reason Toyota says to check it shortly after shutdown.
Also the depth filtering media only came in the 20004 filter witch is a small filter, this is not a factor for current purchases.
The reason for the two sizes is the early 1FZ’s came with the large filter that came on all cruiser before it. In mid 1FZ production they switched to the smaller filter. The larger filter is the Fram PH8A size (never use Fram, cross reference use only) with is very common on Ford and Mopar V8’s,
If you don’t have any 20004’s left and don’t have start up rattle problems run the larger filter. I would consider OEM, Wix, Puralator pure one, or Mobil 1 oil filters.
If you have rattle try the small filter if it helps go with it. If you change your oil when you should most of the benefits of the larger filter have no effect, the reasons that remain are slight.
Flintknapper, got a link to that 90° adapter? I not sure I like the possible restriction of a remote filter but one that is just turned 90° at the same location with well designed free flow short lines should not make much of a difference.
I still have 2 unopened cases of 20004's
