Frame skipped when debugging during step-in, but justMyCode is false #630

Environment data

• debugpy version: 1.8.12
• OS and version: macOS 15.3.1, VSCode Devcontainer mcr.microsoft.com/devcontainers/python:3.13-bookworm
• Python version (& distribution if applicable, e.g. Anaconda): 3.13.1
• Using VS Code or Visual Studio: VSCode 1.97.2

Actual behavior

I reach a breakpoint in my own code and press "step into." I receive a message that says

Frame skipped from debuging during step-in. Note: may have been skipped because of "justMyCode" option (default==true). Try setting "justMyCode": false in the debug configuration (e.g., launch.json).
Source: Attatch to Python

The debugger only goes to frames in my own code. It does not go to frames in my library code.

However, I have double and tripled checked that the debugpy.debugJustMyCode setting is false. I even completely restarted VSCode to verify, but it still skips all frames outside of my code.

Expected behavior

VSCode should not show me this message, and it should not skip frames. It should debug the code in the external library as directed.

Steps to reproduce:

1. Start VSCode
2. Go to the settings
3. Set the justMyCode setting to false
4. Restart VSCode
5. Go back to settings and verify the setting is still false
6. Set a breakpoint on a line of code that will call an external library.
7. Open a terminal
8. In my case I am working on a Django project and trying to debug a test case, so the command is debugpy manage.py test
9. Wait for the debugger to stop at the breakpoint
10. Press Step Into (F11)
11. Receive the frame skipped message even though justMyCode is false.