How do I use @layer in CSS in VSCode?

Question

The @layer CSS at-rule declares a cascade layer. Rules within a cascade layer cascade together, giving more control over the cascade to web developers.

@layer utilities {
  .padding-sm {
    padding: .5rem;
  }

  .padding-lg {
    padding: .8rem;
  }
}

I can use @layer in Codepen and it works fine. But I do I get it to work on VSCode?