I asked around a bit at work. He informed me that best practice is 3-5 x Pitch less than the hole depth, but it is possible to get Depth - 2 x P with a bottoming tap (an additional machining operation).
Default now is Depth - 3.5 P. But I agree with others that there needs to be a way of specifying the thread depth. Although that is a general problem with the Hole dialog.