Visual Studio Code does not have a valid extension—yet—that would replace the best-in-class RDL report editor, which is supported by the Dynamics 365 Business Central development team. With a release every six months, the application is always up to date and, at the time of writing, it deploys Report Viewer 2017 and the latest RDL 2016 schema-based syntax. 

To develop an RDL layout report, you have two choices:

• Report Builder for SQL Server 2016: https://www.microsoft.com/en-us/download/details.aspx?id=53613
• Visual Studio 2017 with the Microsoft RDLC Report Designer for the Visual Studio extension installed: https://marketplace.visualstudio.com/items?itemName=ProBITools.MicrosoftRdlcReportDesignerforVisualStudio-18001 

To find out more, please visit the following official reference and this useful blog: 

• https://docs.microsoft.com/en-us/dynamics365/business-central/dev-itpro/deployment/system-requirement-business-central 
• https://thinkaboutit.be/2019/01/how-do-i-configure-my-rdlc-layout-designers-for-vscode/

The Word layout feature is built around the latest Aspose.Words (https://products.aspose.com/words) component and is implemented in the application by the backend server team. Designing and editing must be done with a version of Microsoft Word that supports XML mappings. Minimum system requirements specify that we should use Microsoft Word 2016 or later.