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Hello @Tundekuzco
Here:
"language": "solidity",

Solidity must be upper case:

"language": "Solidity",

Also:

  1. you don't have installed py-solc-x you must install it trough pip: https://pypi.org/project/py-solc-x/
  2. You are using python 3.10, please don't that version has problems with web3 libraries and specially with solc, use python 3.8 instead on a virtualenv
  3. Don't forget to select correct python interpreter on vscode (bottom left corner).

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Answer selected by cromewar
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