Relative import of local package with VS code

Question

I typically have a folder open in VS code which contain my python project with a .venv folder.

I placed my current project in such a way that I have to go back to the parent folder to find my other module.

workspace_folder
-- module_to_import
--- __init__.py
--- submodule1
---- __init__.py
-- project_currently_working_on

When I try to do a relative import as such

import ..module_to_import

I am getting a ImportError: attempted relative import with no known parent package

I open the folder in VS code and configured the launch.json as

    // Use IntelliSense to learn about possible attributes.
    // Hover to view descriptions of existing attributes.
    // For more information, visit: https://go.microsoft.com/fwlink/?linkid=830387
    "version": "0.2.0",
    "configurations": [
        {
            "name": "Python: Module - name module",
            "type": "python",
            "request": "launch",
            // "program": "${file}",
            "cwd": "${workspaceRoot}",
            "env": {"PYTHONPATH": "${workspaceRoot}"},
            "console": "integratedTerminal"
        }
    ]
}

Tried this with settings.json

{
    "editor.minimap.enabled": false,
    "editor.renderWhitespace": "all",
    "breadcrumbs.enabled": false,
    "[python]": {
        "editor.formatOnType": true
    },
    "python.terminal.launchArgs": [
    ],
    "jupyter.interactiveWindow.creationMode": "perFile",
    "jupyter.askForKernelRestart": false,
    "workbench.startupEditor": "none",
    "C_Cpp.default.compilerPath": "/usr/bin/g++",
    "notebook.confirmDeleteRunningCell": false,
    "jupyter.askForLargeDataFrames": false,
    "[cpp]": {
        "editor.wordBasedSuggestions": "off",
        "editor.suggest.insertMode": "replace",
        "editor.semanticHighlighting.enabled": true
    },
    "python.analysis.extraPaths": ["../module_to_import"], // <----- added
    "explorer.confirmDelete": false,
    "jupyter.interactiveWindow.textEditor.executeSelection": true,
}

To no avail.

If I put this instead "python.analysis.extraPaths": [".."], I can see in the IDE the module, and no warning appear. However, I get a ModuleNotFoundError when running the script:

import module_to_import // <--- IDE automatically proposes me this
from module_to_import import submodule1 // <--- Can even see it pop-up in the IDE

Then, I asked chatGPT which proposed to create a workspace in such a way that:

workspace_folder
-- module_to_import
-- project_currently_working_on

With the workspace configuration having:

{
    "folders": [
        {
            "path": "."
        }
    ],
    "settings": {
        "python.envFile": "${workspaceFolder}/.env",
        "python.analysis.extraPaths": ["${workspaceFolder}"]
    },  
}

Again, same ModuleNotFoundError.

When I try relative import, I can see all of the other projects/modules when typing ... However, I get again a ImportError: attempted relative import with no known parent package when running the script with:

import ..module_to_import // <--- IDE proposes a list of module after typing .. with the option of the module_to_import visible

Any idea how I could get a configuration that would allow me to easily add local module to my current project?