Based on Anthropic’s official docs, checked October 24, 2026

Claude Code in VS Code: install, shortcuts and CLI differences

Anthropic ships Claude Code as a VS Code extension with a graphical chat panel, inline diffs and @-mentions, alongside the command-line tool. This guide covers installing it, the shortcuts worth learning, and where the extension and the CLI differ, all from Anthropic's VS Code docs. It also works in Cursor and other VS Code forks.

1. 1. Check the requirements

   You need VS Code 1.94.0 or later and an Anthropic account: any paid Claude plan (Pro, Max, Team or Enterprise) or a Claude Console account. No API key is required.

2. 2. Install the extension

   Press Cmd+Shift+X (Mac) or Ctrl+Shift+X (Windows/Linux), search for "Claude Code" and click Install. In forks such as Kiro, install from the Extensions view or the Open VSX registry. If it does not appear, run Developer: Reload Window.

3. 3. Open the panel and sign in

   Click the Spark icon in the editor toolbar (it shows when a file is open), the Activity Bar, or ✻ Claude Code in the status bar. The first time, click Sign in and finish authorization in your browser.

4. 4. Install the CLI too if you want claude in the terminal

   The extension bundles a private copy of the CLI for its panel but does not put claude on your PATH. Install the standalone CLI to run claude, claude mcp add or claude --resume in the integrated terminal.

   claude --resume

5. 5. Pick the starting permission mode

   The extension reads claudeCode.initialPermissionMode for the mode new sessions start in. Set it in VS Code settings if you want Manual instead of the default.

Shortcuts worth learning

Cmd+Esc / Ctrl+Esc toggles focus between the editor and Claude. Cmd+Shift+Esc / Ctrl+Shift+Esc opens a new conversation in an editor tab. Option+K / Alt+K inserts an @-mention of the current file and selection, such as @file.ts#5-10. Cmd+Shift+T / Ctrl+Shift+T reopens the last closed Claude session tab.

Claude sees your selected text automatically, and the prompt box footer shows how many lines are selected.

Extension vs CLI

The extension supports MCP server config through /mcp in the chat panel, checkpoints, and plugins through /plugins. The docs list a subset of commands and skills in the extension (type / to see them), and no ! Bash shortcut or tab completion, which stay CLI-only.

Both share conversation history, so claude --resume in a terminal can pick up a panel conversation. If you prefer the CLI look inside VS Code, turn on the claudeCode.useTerminal setting.

The built-in ide MCP server

When the extension is active it runs a local MCP server named ide that the CLI connects to. It opens diffs in VS Code's diff viewer, reads your selection for @-mentions and runs Jupyter cells. It is hidden from /mcp, but if your organization allowlists MCP tools with a PreToolUse hook you need to account for it.

The CLI sends your current selection and active file path with each prompt. To keep a file such as .env out, add a Read deny rule for its path.

Plugins in the extension

Type /plugins to open Manage plugins, with Plugins and Marketplaces tabs. Installs can be for you (user scope), for the project (shared) or local to this repository. You can share a vscode://anthropic.claude-code/install-plugin link that opens the install dialog for a specific plugin.

Tips

• Drag the Claude panel anywhere in the window, or open several conversations as tabs.
• If Cmd+Esc does nothing on macOS, check the extension docs' troubleshooting section for shortcut conflicts.
• Use Accept Change at Cursor and Reject Change at Cursor from the Command Palette to review a proposed edit one change at a time.

Next steps

Sources

• https://code.claude.com/docs/en/vs-code · checked 2026-10-24