iOS Push notification service extension (didReceive) is not called

• I've set up the push notification service extension in xCode.
• I've set target Deployment version to 13.0 (app is 13.0 as well)
• Info.plist of an extension has correct NSExtensionPrincipalClass
• To test, I'm running extension target and selecting app
• I'm testing everything on a device that's running iOS 14.2
• I've tried following payload:

{
      "gcm.message_id" : "XXXXX",
      "type" : "XXXXX",
      "url" : "XXXXX",
      "body" : "XXXX",
      "title" : "XXX",
      "google.c.a.e" : "XX",
      "aps" : {
        "mutable-content" : 1,
        "alert" : {
          "title" : "Test",
          "body" : "Test"
        },
        "category" : "XXXX",
        "content-available" : 1
      },
      "channel_id" : "XXXX"
}

I also tried excluding mutable-content but service extension still didn't get called.
I also tried with simpler payload like this:

{
"aps" : {
        "mutable-content" : 1,
        "alert" : {
          "title" : "Test",
          "body" : "Test"
        },
        "category" : "XXXX",
        "content-available" : 1
      }
}

No luck here either, both with and without mutable-content

I can always see a push notification as a result of testing but the breakpoint in extension `didReceive` method is not triggered. Also the payload is not modified in any way.

Methods like restating device, restarting macbook and deleting derived data didn't work as well

I managed to solve this buy deselecting Copy only when installing in app target -> Build Phases -> Embed App Extensions