VS Code PowerShell extension shadows newer PSScriptAnalyzer versions, breaking Invoke‑Formatter #5632

Prerequisites

• I have written a descriptive issue title.
• I have searched all open and closed issues to ensure it has not already been reported.
• I have read the troubleshooting guide.
• I am sure this issue is with the extension itself and does not reproduce in a standalone PowerShell instance.
• I have verified that I am using the latest version of Visual Studio Code and the PowerShell extension.
• If this is a security issue, I have read the security issue reporting guidance.

Summary

Body
Environment
VS Code PowerShell extension: ms-vscode.powershell-2025.4.0

PowerShell version: 7.6.6

OS: Windows 11

User-installed PSScriptAnalyzer: 1.25.0

VS Code bundled PSScriptAnalyzer: 1.24.0

Summary
The VS Code PowerShell extension loads its bundled copy of PSScriptAnalyzer 1.24.0, which shadows the user-installed PSScriptAnalyzer 1.25.0. As a result, the PowerShell session inside VS Code cannot access Invoke-Formatter, even though the correct module version is installed and visible in $PSModulePath.

This breaks script formatting functionality inside VS Code.

Expected Behavior
VS Code should:

Prefer the user-installed module version when it is newer
OR

Load both versions without shadowing
OR

Provide a setting to disable bundled modules

Actual Behavior
VS Code loads only the bundled module:

Impact
Script formatting is broken inside VS Code.

Users cannot rely on Invoke-Formatter for code cleanup.

The extension silently loads outdated modules.

This behavior contradicts PowerShell’s normal module resolution rules.

It creates confusion and breaks workflows that depend on PSScriptAnalyzer.

Recommendation
Provide a mechanism to:

Disable bundled modules

Prefer user-installed modules when newer

Or load both without shadowing

PowerShell Version

PS C:\Users\Michael\Documents\PowerShellWorkspace> $PSVersionTable.PSVersion; $HOST

Major  Minor  Patch  PreReleaseLabel BuildLabel
-----  -----  -----  --------------- ----------
7      6      6                      

Name             : Visual Studio Code Host
Version          : 2025.4.0
InstanceId       : 5dbf22db-dded-40a4-a478-f3dc8e767566
UI               : System.Management.Automation.Internal.Host.InternalHostUserInterface
CurrentCulture   : en-US
CurrentUICulture : en-US
PrivateData      : Microsoft.PowerShell.ConsoleHost+ConsoleColorProxy
DebuggerEnabled  : True
IsRunspacePushed : False
Runspace         : System.Management.Automation.Runspaces.LocalRunspace

Visual Studio Code Version

PS C:\Users\Michael\Documents\PowerShellWorkspace> code --version
1.136.1
a44adf7f53e00964ab890f9f8758a334f1fc15bc
x64

Extension Version

PS C:\Users\Michael\Documents\PowerShellWorkspace> code --listExtensions  code --list-extensions --show-versions | Select-String powershell

ms-vscode.powershell@2025.4.0

Steps to Reproduce

Actual Behavior
VS Code loads only the bundled module:

Code
Directory: C:\Users<user>.vscode\extensions\ms-vscode.powershell-2025.4.0\modules
ModuleType Version Name

Script 1.24.0 PSScriptAnalyzer
The user-installed version is ignored:

Code
Directory: C:\Users<user>\OneDrive\Documents\PowerShell\Modules
ModuleType Version Name

Script 1.25.0 PSScriptAnalyzer
Calling Invoke-Formatter results in:

Code
Invoke-Formatter: The term 'Invoke-Formatter' is not recognized...
Reproduction Steps
Install PSScriptAnalyzer 1.25.0:

Code
Install-Module PSScriptAnalyzer -Scope CurrentUser -Force
Open VS Code with the PowerShell extension enabled.

Run:

Code
Get-Module -ListAvailable PSScriptAnalyzer
Observe that VS Code loads only the bundled 1.24.0 version.

Attempt to run:

Code
Invoke-Formatter -ScriptDefinition "function Test { Write-Host 'hi' }"
Observe failure: Invoke-Formatter is not recognized.

Workaround
Rename the bundled module folder:

Code
C:\Users<user>.vscode\extensions\ms-vscode.powershell-2025.4.0\modules\PSScriptAnalyzer
→ PSScriptAnalyzer.bak
Restart VS Code’s PowerShell session.

After this, VS Code correctly loads the user-installed 1.25.0 version and Invoke-Formatter works.

Visuals

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Logs

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