It would be great if when you choose the python interpreter via the extension the local settings.json file is updated in the .vscode directory. I think it is currently stored in AppData somewhere.

I encountered Unable to write into user settings. recently in VS Code in macOS environment. I spent some time but couldn't find the issues and fix it so I ended up ...

But that's not all of the "pathiness" coming up for VS Code, as an upcoming change will move python.pythonPath out of the settings.json configuration file, which can cause issues when workspace ...