[BUG] VSCode Plugin New UI Permission Issue

Preflight Checklist

• [x] I have searched existing issues and this hasn't been reported yet
• [x] This is a single bug report (please file separate reports for different bugs)
• [x] I am using the latest version of Claude Code

What's Wrong?

I hate to submit this, I got version '2.0.34 right now. From the first version of v2, the permission issue was already there. Always asking for permission file by file, no matter it's reading, or file edits. Even I selected Edit Automatically` mode, but it's just keep asking for permission, again and again.

You mentioned the issue was fixed on market extension page, but actually, till now, it's just still there, I have to switch back to terminal version again and again, I really don't want to curse on your try on the new UI.

BTW, I selected Allow Dangerous Skip Permission setting as well in the extension setting, but it looks like this setting doesn't help at all, the extension still ask for permission on each command.

What Should Happen?

• --dangerously-skip-permissions should work as expected
• Edits Automatically should work as expected

Error Messages/Logs

Steps to Reproduce

• use vscode
• use latest claude code extension
• use new UI
• set --dangerously-skip-permissions or not
• ask claude to do something, select Edits Automatically mode or plan mode, it kept asking for edits
• Even selected Yes, don't asking again in the session, it will ask again in the same session

Claude Model

None

Is this a regression?

Yes, this worked in a previous version

Last Working Version

_No response_

Claude Code Version

2.0.34

Platform

Anthropic API

Operating System

macOS

Terminal/Shell

Warp

Additional Information

_No response_