Traffic wrotesure you can .. use a pc on your network.
I interpreted your post to mean that forwarding rule was required to make the local directive work, perhaps that's not what you meant?
As it stands, those rules do not allow for a vpn client to connect to the vpn server while the local directive is set with a value of the LAN IP at eth0. I've verified it's not the file transfer, as removing the local directive permits traffic, while re-adding it blocks traffic.
Sun Mar 29 14:30:16 2015 read UDPv4: Connection reset by peer (WSAECONNRESET) (code=10054)
This does appear to be an issue with the way iptables routes data on openwrt, as openwrt (at least with kernel 3.18 on CC) doesn't use an actual iptables configuration file to set rules; it simplifies rule making my taking the rules set within the gui and applies them retroactively, flushing all iptables values upon router reboot or firewall restart (which is why all custom iptables commands must be saved in the firewall.user file which is applied every time the firewall is started or restarted).