Hello!
Unfortunately, after my update to version 0.25.0, "auto indent" setting was broken for XML and XSD files (even with value "full" there is no indentation after pressing Enter). In version 0.24.0 this rule is working fine.
Here're some of my tech parameters (if you need more, please, tag me in comments below):
- OS: Windows 10 Home Edition 22H2 (19045.2846)
- VS Code: 1.77.3