Why does VSCode not pick up path aliases in tsconfig?

I had a jsconfig.json which I replaced with a tsconfig.json. Following the replacement, VSCode doesn't pick up path aliases and reports an import error:

Example:

Cannot find module '@Components/Title' or its corresponding type declarations.ts(2307)

jsconfig.json

// https://code.visualstudio.com/docs/languages/jsconfig

{
    "compilerOptions": {
        "baseUrl": ".",
        "paths": {
            "@Components/*": ["./src/components/*"],
            "@Modules/*": ["./src/modules/*"],
            "@Styles/*": ["./src/styles/*"],
            "@Content/*": ["./src/content/*"],
            "@Apps/*": ["./src/apps/*"]
        }
    },
    //Add any build/compiled folders here to stop vscode searching those
    "exclude": ["node_modules", "build"]
}

tsconfig.json

// https://code.visualstudio.com/docs/languages/jsconfig
{
    "compilerOptions": {
        "baseUrl": ".",
        "paths": {
            "@Components/*": ["./src/components/*"],
            "@Modules/*": ["./src/modules/*"],
            "@Styles/*": ["./src/styles/*"],
            "@Content/*": ["./src/content/*"],
            "@Apps/*": ["./src/apps/*"]
        },
        "target": "es5",
        "lib": ["dom", "dom.iterable", "esnext"],
        "allowJs": true,
        "skipLibCheck": true,
        "strict": false,
        "forceConsistentCasingInFileNames": true,
        "noEmit": true,
        "incremental": true,
        "esModuleInterop": true,
        "module": "esnext",
        "moduleResolution": "node",
        "resolveJsonModule": true,
        "isolatedModules": true,
        "jsx": "preserve"
    },
    "exclude": ["node_modules", "build"],
    "include": ["next-env.d.ts", "**/*.ts", "**/*.tsx"]
}

Update 1: I only have this issue with files ending in .js. If I rename them to .ts everything works fine. Weirdly enough, if I rename the file back to .js and restart VSCode, the errors don't show up in the file anymore.

The tsconfig configuration will only apply to files matched by the "include" option and not excluded by the "exclude" option. Your "include" option only matches .ts and .tsx files, but not .js files

Add "**/*.js" to the list of included globs and it should work.