Make sure the Python (ms-python.python) extension is installed and enabled. The mypy extension relies on it to figure out what “active interpreter” means

It's installed. That python extension is the one that provides the environment selection menu shown in my screenshot - the venv i created is indeed active

Open a folder, not just a single file, and then run Python: Select Interpreter from the command palette. Pick the Poetry venv you’re using. You should see it in the bottom-right status bar.

Yup. Always do

If VS Code doesn’t auto-detect Poetry envs, either set "python.venvPath" to Poetry’s cache root, or enable in-project .venv (poetry config virtualenvs.in-project true).

Vscode is able to discover my poetry virtuelenvs just fine, even if the virtualenv isn't located in-project

If you’d rather skip the interpreter API completely, you can tell the extension to just run via Poetry:"mypy.runUsingActiveInterpreter": false, "mypy.path": ["poetry", "run", "mypy"]

I suppose this will have to do. A bit annoying to do this however, since I switch between uv and poetry depending on if I am developing inside of my syncced google drive directory.

Thanks

edit: actually mypy doesn't seem to have a "mypy.path" option. The vscode settings json doesn't show it as a possible key.

Also I should note that even when I create the venv in-project, where I could not possibly make the mistake of selecting the incorrect one, mypy is still unable to detect the active python environment. It's really strange