[Python] pylance does not recognize local packages installed with "pip install -e "

I have the following project setup (names changed):

ProjectRoot
│
├───DependencyPackage
│ │ .gitignore
│ │ Dockerfile
│ │ LICENSE
│ │ pyproject.toml
│ │ README.md
│ │ setup.cfg
│ │ setup.py
│ │
│ └───dependency_source
│ │ __init__.py
│ │
│ ├───models
│ │ first_model.py
│ │ second_model.py
│ │
│ └───code
│ some_logic.py
│
├───MainPackage
│ │ .gitignore
│ │ Dockerfile
│ │ LICENSE
│ │ pyproject.toml
│ │ README.md
│ │ setup.cfg
│ │ setup.py
│ │
│ │
│ └───main_source
│ main.py
│ __init__.py
│
└───venv


In Visual Studio Code the interpreter is chosen via path to venv/Scripts/python.exe, both MainPackage as well as DependencyPackage are installed in the virtual environment via pip install -e ".[dev]", they also show up with the correct path and version in pip list

The dependency package is listed as install_requires = dependency_package and I have checked all the naming (e.g. - vs _) several times.

Additionally the code runs fine if I for example use in the MainPackage/main_source/main.py:

from dependency_package.code.some_logic import myfunction

def main():
myfunction("something something...")

if __name__ == "__main__":
main()


However, even though everything clearly works (?), I still get the following pylance error on import:

Import "dependency_package.code.some_logic" could not be resolved and Intellisense fails and I get no code completion suggestions and so on...
​

Clearly I am missing something here.

addition: Just tested again, installing with pip install (no -e), will work fine and my imports are recognized. I do however need the -e flag, since I am developing on both packages simultaneously.

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