• Prerequisites

• Databricks CLI installed

• Match your databricks-connect version with your cluster runtime (e.g. runtime 14.3 LTS, needs databricks-connect 14.3.x)

• Match your local python installation with the Databricks Python version.
• Databricks extension installed on VSCode.
• A cluster available on Databricks (and preferably running, or started)

Authenticate from VSCode using Databricks CLI:
databricks auth login --host https://adb-841xxxxxxxxxxxxxx.azuredatabricks.net/

Above command will create a auth profile you can use in the VSCode extension connection: