Here are the most common and reliable ways to **compare two text files** (or any files) side-by-side in **Visual Studio Code**
(as of 2026 — the built-in diff tool hasn't changed significantly in recent versions).
### Method 1: Quickest way (using Explorer – recommended for most cases)
1. Open VS Code and make sure both files are visible in the **Explorer** sidebar (left panel):
- Either open the containing folder via **File → Open Folder…**
- Or just drag & drop the two files into VS Code (they appear under **Open Editors** if unsaved)
2. In the Explorer (or Open Editors list):
- Right-click the **first file** → **Select for Compare**
- Right-click the **second file** → **Compare with Selected**
3. VS Code instantly opens a beautiful side-by-side (or inline) diff view:
- Added lines = green
- Removed lines = red
- Changed lines = highlighted
- You can navigate changes with the arrows in the toolbar
This works for:
- Saved files in the same project/folder
- Unsaved/untitled files
- Files from different folders (as long as both are open in VS Code)
### Method 2: Using Command Palette (very flexible)
1. Press **Ctrl+Shift+P** (or **Cmd+Shift+P** on macOS) to open the Command Palette
2. Type **compare** and pick one of these:
- **File: Compare Active File With…** → choose any other open file or browse to a file
- **File: Compare New Untitled Text Files** → great when you want to paste/compare two pieces of text quickly without saving
### Method 3: From command line (outside VS Code)
If both files already exist on disk:
```bash
code diff path/to/file1.txt path/to/file2.txt
```
This opens VS Code directly in diff mode (very handy in scripts or terminals).
### Bonus tips
- **Switch to inline view** → click the little "parallel/inline" toggle button in the diff toolbar (useful on narrow screens)
- **Ignore whitespace** → click the gear icon in the diff toolbar → toggle "Ignore Trim Whitespace"
- **Word-level diff** → same gear menu → "Word Diff"
- **Compare with clipboard** → select text → right-click → **Compare Active File with Clipboard** (or use command palette)
- If the diff feels slow on very large files → go to **Settings** (Ctrl+,) → search for "diff" → try changing **Diff Algorithm** to "legacy"
The Explorer right-click method ("Select for Compare" → "Compare with Selected") is what most people use daily — it's fast and intuitive.
Let me know if you're comparing git versions, very large files, or folders instead — there are slightly different flows for those!
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Tomlist#1
Visual Studio Code does **not** have a built-in feature to compare two entire folders (directories)
side-by-side for differences in files, additions, deletions, etc. — unlike file comparison, which is native.
The most popular and reliable way is to use a free extension from the VS Code Marketplace. As of 2026,
two strong, actively maintained options stand out:
1. **Compare Folders** by MoshFeu (most popular — over 620k installs, last major update in 2025)
- Link: https://marketplace.visualstudio.com/items?itemName=moshfeu.compare-folders
2. **Diff Folders** by L13RARY (good alternative with multi-panel support)
- Link: https://marketplace.visualstudio.com/items?itemName=L13RARY.l13-diff
### Recommended: Install "Compare Folders" (easiest & feature-rich)
1. Open VS Code
2. Go to the **Extensions** view (Ctrl+Shift+X or Cmd+Shift+X on macOS)
3. Search for **Compare Folders** (publisher: MoshFeu)
4. Click **Install**
### How to use it (several convenient ways)
**Option A – From Explorer (fastest once set up)**
- In the Explorer sidebar, select **two folders** (hold Ctrl/Cmd to multi-select if needed, or just right-click
one then the other)
- Right-click → **Compare selected folders**
→ It opens the comparison view immediately.
**Option B – Command Palette**
- Press **Ctrl+Shift+P** (Cmd+Shift+P on macOS)
- Type and select:
- **Compare Folders: Choose 2 folders and compare** → pick any two folders from your file system
- or **Compare Folders: Compare a folder against workspace** → if one folder is already your open
workspace/project
**Option C – Dedicated panel**
- After installing, a new **Compare Folders** icon appears in the Activity Bar (left sidebar — looks like
two folders/arrows)
- Click it → then click to select Left folder and Right folder
- It shows:
- Tree or list view of differences
- Categories: Added, Modified, Deleted, Identical (toggleable)
- Click any file → opens side-by-side diff (same as native file compare)
- Actions: Copy left→right, right→left, delete, etc. (with confirmation prompts)
### Useful settings (after install, go to Settings → search "compareFolders")
- **excludeFilter** — ignore folders like node_modules, .git, etc. (add `["**/node_modules", "**/.git"]`)
- **ignoreWhiteSpaces** / **ignoreLineEnding** / **ignoreEmptyLines** — very helpful for cleaner diffs
- **respectGitIgnore** — honors .gitignore files
- **showIdentical** — hide/show unchanged files
- CLI shortcut: From terminal run
```bash
COMPARE_FOLDERS=DIFF code /path/to/folderA /path/to/folderB
```
### Quick alternatives if you don't want an extension
- Use **Git** (if the folders are git repos or you can init them temporarily):
1. Put one folder inside the other or use separate clones
2. Run `git diff no-index folderA folderB` in terminal → VS Code can open that output nicely with `code -`
- External free tools (outside VS Code): WinMerge (Windows), Meld (cross-platform), Beyond Compare
(paid but excellent), or command-line `diff -r folder1 folder2`
The "Compare Folders" extension gives you the closest experience to a native folder diff inside
VS Code — tree view + file diffs + copy actions. Install it and you'll use it constantly once you need folder
comparisons.
Let me know if you're on Windows/macOS/Linux or comparing very large folders (some settings help
performance)!