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Bug: Shows error when jsx is react-jsx in tsconfig instead of react #20391
VSCode is, by default, using their own version of TypeScript. In your case: 4.0.3. However, "jsx": "react-jsx" is only supported starting with TypeScript 4.1. You can change the version though to the version used in your package:
how to find the current version of TypeScript used in VSCode

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eps1lon commentedon Dec 7, 2020
Thanks for the report.
VSCode is, by default, using their own version of TypeScript. In your case: 4.0.3. However,

"jsx": "react-jsx"is only supported starting with TypeScript 4.1. You can change the version though to the version used in your package:how to find the current version of TypeScript used in VSCode
bineetNaidu commentedon Dec 7, 2020
Thanks for letting me to know, I thought that it was a bug 😅 😅 😅
Cidrax commentedon Jan 31, 2021
Im using WebStorms and have the same issue.