diff --git a/packages/coverage-istanbul/package.json b/packages/coverage-istanbul/package.json
index 1c9040307c46..bbb16b4da43b 100644
--- a/packages/coverage-istanbul/package.json
+++ b/packages/coverage-istanbul/package.json
@@ -51,7 +51,7 @@
     "istanbul-lib-report": "^3.0.1",
     "istanbul-lib-source-maps": "^4.0.1",
     "istanbul-reports": "^3.1.6",
-    "magicast": "^0.3.2",
+    "magicast": "^0.3.3",
     "picocolors": "^1.0.0",
     "test-exclude": "^6.0.0"
   },
diff --git a/packages/coverage-istanbul/src/provider.ts b/packages/coverage-istanbul/src/provider.ts
index c25a147f7e73..f869bb4b57a6 100644
--- a/packages/coverage-istanbul/src/provider.ts
+++ b/packages/coverage-istanbul/src/provider.ts
@@ -4,6 +4,7 @@ import type { AfterSuiteRunMeta, CoverageIstanbulOptions, CoverageProvider, Repo
 import { coverageConfigDefaults, defaultExclude, defaultInclude } from 'vitest/config'
 import { BaseCoverageProvider } from 'vitest/coverage'
 import c from 'picocolors'
+import type { ProxifiedModule } from 'magicast'
 import { parseModule } from 'magicast'
 import createDebug from 'debug'
 import libReport from 'istanbul-lib-report'
@@ -238,9 +239,7 @@ export class IstanbulCoverageProvider extends BaseCoverageProvider implements Co
           perFile: this.options.thresholds.perFile,
           configurationFile: {
             write: () => writeFileSync(configFilePath, configModule.generate().code, 'utf-8'),
-            read: () => configModule.exports.default.$type === 'function-call'
-              ? configModule.exports.default.$args[0]
-              : configModule.exports.default,
+            read: () => resolveConfig(configModule),
           },
         })
       }
@@ -360,3 +359,29 @@ function toSlices<T>(array: T[], size: number): T[][] {
     return chunks
   }, [])
 }
+
+function resolveConfig(configModule: ProxifiedModule<any>) {
+  const mod = configModule.exports.default
+
+  try {
+    // Check for "export default { test: {...} }"
+    if (mod.$type === 'object')
+      return mod
+
+    if (mod.$type === 'function-call') {
+      // "export default defineConfig({ test: {...} })"
+      if (mod.$args[0].$type === 'object')
+        return mod.$args[0]
+
+      // "export default defineConfig(() => ({ test: {...} }))"
+      if (mod.$args[0].$type === 'arrow-function-expression' && mod.$args[0].$body.$type === 'object')
+        return mod.$args[0].$body
+    }
+  }
+  catch (error) {
+    // Reduce magicast's verbose errors to readable ones
+    throw new Error(error instanceof Error ? error.message : String(error))
+  }
+
+  throw new Error('Failed to update coverage thresholds. Configuration file is too complex.')
+}
diff --git a/packages/coverage-v8/package.json b/packages/coverage-v8/package.json
index 310a9b9e2f7b..1d7d787d2eb7 100644
--- a/packages/coverage-v8/package.json
+++ b/packages/coverage-v8/package.json
@@ -53,7 +53,7 @@
     "istanbul-lib-source-maps": "^4.0.1",
     "istanbul-reports": "^3.1.6",
     "magic-string": "^0.30.5",
-    "magicast": "^0.3.2",
+    "magicast": "^0.3.3",
     "picocolors": "^1.0.0",
     "std-env": "^3.5.0",
     "test-exclude": "^6.0.0",
diff --git a/packages/coverage-v8/src/provider.ts b/packages/coverage-v8/src/provider.ts
index 19b80986fcf0..e0e34b40bea8 100644
--- a/packages/coverage-v8/src/provider.ts
+++ b/packages/coverage-v8/src/provider.ts
@@ -9,6 +9,7 @@ import type { CoverageMap } from 'istanbul-lib-coverage'
 import libCoverage from 'istanbul-lib-coverage'
 import libSourceMaps from 'istanbul-lib-source-maps'
 import MagicString from 'magic-string'
+import type { ProxifiedModule } from 'magicast'
 import { parseModule } from 'magicast'
 import remapping from '@ampproject/remapping'
 import { normalize, resolve } from 'pathe'
@@ -230,9 +231,7 @@ export class V8CoverageProvider extends BaseCoverageProvider implements Coverage
           perFile: this.options.thresholds.perFile,
           configurationFile: {
             write: () => writeFileSync(configFilePath, configModule.generate().code, 'utf-8'),
-            read: () => configModule.exports.default.$type === 'function-call'
-              ? configModule.exports.default.$args[0]
-              : configModule.exports.default,
+            read: () => resolveConfig(configModule),
           },
         })
       }
@@ -432,3 +431,29 @@ function toSlices<T>(array: T[], size: number): T[][] {
     return chunks
   }, [])
 }
+
+function resolveConfig(configModule: ProxifiedModule<any>) {
+  const mod = configModule.exports.default
+
+  try {
+    // Check for "export default { test: {...} }"
+    if (mod.$type === 'object')
+      return mod
+
+    if (mod.$type === 'function-call') {
+      // "export default defineConfig({ test: {...} })"
+      if (mod.$args[0].$type === 'object')
+        return mod.$args[0]
+
+      // "export default defineConfig(() => ({ test: {...} }))"
+      if (mod.$args[0].$type === 'arrow-function-expression' && mod.$args[0].$body.$type === 'object')
+        return mod.$args[0].$body
+    }
+  }
+  catch (error) {
+    // Reduce magicast's verbose errors to readable ones
+    throw new Error(error instanceof Error ? error.message : String(error))
+  }
+
+  throw new Error('Failed to update coverage thresholds. Configuration file is too complex.')
+}
diff --git a/pnpm-lock.yaml b/pnpm-lock.yaml
index cd6205391183..909396663e6a 100644
--- a/pnpm-lock.yaml
+++ b/pnpm-lock.yaml
@@ -930,8 +930,8 @@ importers:
         specifier: ^3.1.6
         version: 3.1.6
       magicast:
-        specifier: ^0.3.2
-        version: 0.3.2
+        specifier: ^0.3.3
+        version: 0.3.3
       picocolors:
         specifier: ^1.0.0
         version: 1.0.0
@@ -991,8 +991,8 @@ importers:
         specifier: ^0.30.5
         version: 0.30.5
       magicast:
-        specifier: ^0.3.2
-        version: 0.3.2
+        specifier: ^0.3.3
+        version: 0.3.3
       picocolors:
         specifier: ^1.0.0
         version: 1.0.0
@@ -1621,8 +1621,8 @@ importers:
         specifier: ^3.0.1
         version: 3.0.1
       magicast:
-        specifier: ^0.3.2
-        version: 0.3.2
+        specifier: ^0.3.3
+        version: 0.3.3
       vite:
         specifier: ^5.0.0
         version: 5.0.2(@types/node@18.18.9)(less@4.1.3)
@@ -2335,7 +2335,7 @@ packages:
       '@babel/generator': 7.23.3
       '@babel/helper-module-transforms': 7.23.3(@babel/core@7.12.9)
       '@babel/helpers': 7.23.2
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/template': 7.22.15
       '@babel/traverse': 7.23.3
       '@babel/types': 7.23.3
@@ -2361,7 +2361,7 @@ packages:
       '@babel/helper-compilation-targets': 7.22.15
       '@babel/helper-module-transforms': 7.23.3(@babel/core@7.23.3)
       '@babel/helpers': 7.23.2
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/template': 7.22.15
       '@babel/traverse': 7.23.3
       '@babel/types': 7.23.3
@@ -2411,7 +2411,7 @@ packages:
     resolution: {integrity: sha512-QkBXwGgaoC2GtGZRoma6kv7Szfv06khvhFav67ZExau2RaXzy8MpHSMO2PNoP2XtmQphJQRHFfg77Bq731Yizw==}
     engines: {node: '>=6.9.0'}
     dependencies:
-      '@babel/types': 7.23.3
+      '@babel/types': 7.23.6
     dev: true
 
   /@babel/helper-compilation-targets@7.22.15:
@@ -2669,6 +2669,10 @@ packages:
     resolution: {integrity: sha512-mM4COjgZox8U+JcXQwPijIZLElkgEpO5rsERVDJTc2qfCDfERyob6k5WegS14SX18IIjv+XD+GrqNumY5JRCDw==}
     engines: {node: '>=6.9.0'}
 
+  /@babel/helper-string-parser@7.23.4:
+    resolution: {integrity: sha512-803gmbQdqwdf4olxrX4AJyFBV/RTr3rSmOj0rKwesmzlfhYNDEs+/iOcznzpNWlJlIlTJC2QfPFcHB6DlzdVLQ==}
+    engines: {node: '>=6.9.0'}
+
   /@babel/helper-validator-identifier@7.22.20:
     resolution: {integrity: sha512-Y4OZ+ytlatR8AI+8KZfKuL5urKp7qey08ha31L8b3BwewJAoJamTzyvxPR/5D+KkdJCGPq/+8TukHBlY10FX9A==}
     engines: {node: '>=6.9.0'}
@@ -2700,7 +2704,7 @@ packages:
     dependencies:
       '@babel/helper-function-name': 7.23.0
       '@babel/template': 7.22.15
-      '@babel/types': 7.23.3
+      '@babel/types': 7.23.6
     dev: true
 
   /@babel/helpers@7.23.2:
@@ -2726,7 +2730,8 @@ packages:
     engines: {node: '>=6.0.0'}
     hasBin: true
     dependencies:
-      '@babel/types': 7.23.0
+      '@babel/types': 7.23.3
+    dev: false
 
   /@babel/parser@7.23.3:
     resolution: {integrity: sha512-uVsWNvlVsIninV2prNz/3lHCb+5CJ+e+IUBfbjToAHODtfGYLfCFuY4AU7TskI+dAKk+njsPiBjq1gKTvZOBaw==}
@@ -2740,8 +2745,7 @@ packages:
     engines: {node: '>=6.0.0'}
     hasBin: true
     dependencies:
-      '@babel/types': 7.23.3
-    dev: true
+      '@babel/types': 7.23.6
 
   /@babel/plugin-bugfix-safari-id-destructuring-collision-in-function-expression@7.18.6(@babel/core@7.23.3):
     resolution: {integrity: sha512-Dgxsyg54Fx1d4Nge8UnvTrED63vrwOdPmyvPzlNN/boaliRP54pm3pGzZD1SJUwrBA+Cs/xdG8kXX6Mn/RfISQ==}
@@ -4476,7 +4480,7 @@ packages:
       '@babel/plugin-transform-unicode-regex': 7.22.5(@babel/core@7.23.3)
       '@babel/plugin-transform-unicode-sets-regex': 7.22.5(@babel/core@7.23.3)
       '@babel/preset-modules': 0.1.6-no-external-plugins(@babel/core@7.23.3)
-      '@babel/types': 7.23.3
+      '@babel/types': 7.23.6
       babel-plugin-polyfill-corejs2: 0.4.6(@babel/core@7.23.3)
       babel-plugin-polyfill-corejs3: 0.8.5(@babel/core@7.23.3)
       babel-plugin-polyfill-regenerator: 0.5.3(@babel/core@7.23.3)
@@ -4518,7 +4522,7 @@ packages:
     dependencies:
       '@babel/core': 7.23.3
       '@babel/helper-plugin-utils': 7.22.5
-      '@babel/types': 7.23.3
+      '@babel/types': 7.23.6
       esutils: 2.0.3
     dev: true
 
@@ -4598,7 +4602,7 @@ packages:
     engines: {node: '>=6.9.0'}
     dependencies:
       '@babel/code-frame': 7.22.13
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/types': 7.23.3
 
   /@babel/traverse@7.23.3:
@@ -4611,7 +4615,7 @@ packages:
       '@babel/helper-function-name': 7.23.0
       '@babel/helper-hoist-variables': 7.22.5
       '@babel/helper-split-export-declaration': 7.22.6
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/types': 7.23.3
       debug: 4.3.4(supports-color@8.1.1)
       globals: 11.12.0
@@ -4625,6 +4629,7 @@ packages:
       '@babel/helper-string-parser': 7.22.5
       '@babel/helper-validator-identifier': 7.22.20
       to-fast-properties: 2.0.0
+    dev: true
 
   /@babel/types@7.23.3:
     resolution: {integrity: sha512-OZnvoH2l8PK5eUvEcUyCt/sXgr/h+UWpVuBbOljwcrAgUl6lpchoQ++PHGyQy1AtYnVA6CEq3y5xeEI10brpXw==}
@@ -4634,6 +4639,14 @@ packages:
       '@babel/helper-validator-identifier': 7.22.20
       to-fast-properties: 2.0.0
 
+  /@babel/types@7.23.6:
+    resolution: {integrity: sha512-+uarb83brBzPKN38NX1MkB6vb6+mwvR6amUulqAE7ccQw1pEl+bCia9TbdG1lsnFP7lZySvUn37CHyXQdfTwzg==}
+    engines: {node: '>=6.9.0'}
+    dependencies:
+      '@babel/helper-string-parser': 7.23.4
+      '@babel/helper-validator-identifier': 7.22.20
+      to-fast-properties: 2.0.0
+
   /@base2/pretty-print-object@1.0.1:
     resolution: {integrity: sha512-4iri8i1AqYHJE2DstZYkyEprg6Pq6sKx3xn5FpySk9sNhH7qN2LLlHJCfDTZRILNwQNPD7mATWM0TBui7uC1pA==}
     dev: true
@@ -8195,7 +8208,7 @@ packages:
     dependencies:
       '@babel/core': 7.23.3
       '@babel/generator': 7.23.3
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/plugin-transform-react-jsx': 7.19.0(@babel/core@7.23.3)
       '@babel/preset-env': 7.18.10(@babel/core@7.23.3)
       '@babel/traverse': 7.23.3
@@ -8324,7 +8337,7 @@ packages:
     resolution: {integrity: sha512-4biZIWWzoWlCarMZmTpqcJNgo/RBesYZwGFbQeXiGYsswuvfWARZnW9RE9aUEMZ4XPn7B1N3EKkWcdcWe/K2tg==}
     dependencies:
       '@babel/generator': 7.23.3
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/preset-env': 7.18.10(@babel/core@7.23.3)
       '@babel/types': 7.23.3
       '@mdx-js/mdx': 1.6.22
@@ -8343,7 +8356,7 @@ packages:
     resolution: {integrity: sha512-xxUEMy0D+0G1aSYxbeVNbs+XBU5nCqW4I7awpBYSTywXDv/MJWeC6FDRpj5P1pgfq8j8jWDD5ZDvBQ7syFg0LQ==}
     dependencies:
       '@babel/generator': 7.23.3
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/preset-env': 7.18.10(@babel/core@7.23.3)
       '@babel/types': 7.23.3
       '@mdx-js/mdx': 1.6.22
@@ -9104,8 +9117,8 @@ packages:
   /@types/babel__core@7.20.3:
     resolution: {integrity: sha512-54fjTSeSHwfan8AyHWrKbfBWiEUrNTZsUwPTDSNaaP1QDQIZbeNUg3a59E9D+375MzUw/x1vx2/0F5LBz+AeYA==}
     dependencies:
-      '@babel/parser': 7.23.0
-      '@babel/types': 7.23.0
+      '@babel/parser': 7.23.6
+      '@babel/types': 7.23.3
       '@types/babel__generator': 7.6.6
       '@types/babel__template': 7.4.3
       '@types/babel__traverse': 7.20.3
@@ -9130,7 +9143,7 @@ packages:
   /@types/babel__template@7.4.3:
     resolution: {integrity: sha512-ciwyCLeuRfxboZ4isgdNZi/tkt06m8Tw6uGbBSBgWrnnZGNXiEyM27xc/PjXGQLqlZ6ylbgHMnm7ccF9tCkOeQ==}
     dependencies:
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@babel/types': 7.23.3
     dev: true
 
@@ -10375,7 +10388,7 @@ packages:
   /@vue/compiler-core@3.3.8:
     resolution: {integrity: sha512-hN/NNBUECw8SusQvDSqqcVv6gWq8L6iAktUR0UF3vGu2OhzRqcOiAno0FmBJWwxhYEXRlQJT5XnoKsVq1WZx4g==}
     dependencies:
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@vue/shared': 3.3.8
       estree-walker: 2.0.2
       source-map-js: 1.0.2
@@ -10406,7 +10419,7 @@ packages:
   /@vue/compiler-sfc@2.7.10:
     resolution: {integrity: sha512-55Shns6WPxlYsz4WX7q9ZJBL77sKE1ZAYNYStLs6GbhIOMrNtjMvzcob6gu3cGlfpCR4bT7NXgyJ3tly2+Hx8Q==}
     dependencies:
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       postcss: 8.4.31
       source-map: 0.6.1
     dev: true
@@ -10478,7 +10491,7 @@ packages:
   /@vue/reactivity-transform@3.3.8:
     resolution: {integrity: sha512-49CvBzmZNtcHua0XJ7GdGifM8GOXoUMOX4dD40Y5DxI3R8OUhMlvf2nvgUAcPxaXiV5MQQ1Nwy09ADpnLQUqRw==}
     dependencies:
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@vue/compiler-core': 3.3.8
       '@vue/shared': 3.3.8
       estree-walker: 2.0.2
@@ -12050,7 +12063,7 @@ packages:
     engines: {node: ^10.13.0 || ^12.13.0 || ^14.15.0 || >=15.0.0}
     dependencies:
       '@babel/template': 7.22.15
-      '@babel/types': 7.23.3
+      '@babel/types': 7.23.6
       '@types/babel__core': 7.20.5
       '@types/babel__traverse': 7.20.3
     dev: true
@@ -18435,7 +18448,7 @@ packages:
     engines: {node: '>=8'}
     dependencies:
       '@babel/core': 7.23.3
-      '@babel/parser': 7.23.3
+      '@babel/parser': 7.23.6
       '@istanbuljs/schema': 0.1.3
       istanbul-lib-coverage: 3.2.2
       semver: 6.3.1
@@ -18983,7 +18996,7 @@ packages:
       '@babel/generator': 7.23.3
       '@babel/plugin-syntax-typescript': 7.23.3(@babel/core@7.23.3)
       '@babel/traverse': 7.23.3
-      '@babel/types': 7.23.3
+      '@babel/types': 7.23.6
       '@jest/transform': 27.5.1
       '@jest/types': 27.5.1
       '@types/babel__traverse': 7.20.3
@@ -19996,11 +20009,11 @@ packages:
     dependencies:
       '@jridgewell/sourcemap-codec': 1.4.15
 
-  /magicast@0.3.2:
-    resolution: {integrity: sha512-Fjwkl6a0syt9TFN0JSYpOybxiMCkYNEeOTnOTNRbjphirLakznZXAqrXgj/7GG3D1dvETONNwrBfinvAbpunDg==}
+  /magicast@0.3.3:
+    resolution: {integrity: sha512-ZbrP1Qxnpoes8sz47AM0z08U+jW6TyRgZzcWy3Ma3vDhJttwMwAFDMMQFobwdBxByBD46JYmxRzeF7w2+wJEuw==}
     dependencies:
-      '@babel/parser': 7.23.3
-      '@babel/types': 7.23.3
+      '@babel/parser': 7.23.6
+      '@babel/types': 7.23.6
       source-map-js: 1.0.2
 
   /make-dir@2.1.0:
@@ -23942,7 +23955,7 @@ packages:
     dependencies:
       '@babel/generator': 7.23.0
       '@babel/helper-module-imports': 7.22.15
-      '@babel/types': 7.23.0
+      '@babel/types': 7.23.3
       solid-js: 1.8.3
     dev: true
 
diff --git a/test/coverage-test/coverage-report-tests/generic.report.test.ts b/test/coverage-test/coverage-report-tests/generic.report.test.ts
index d7e5821b6d3d..cbff56cc9ee0 100644
--- a/test/coverage-test/coverage-report-tests/generic.report.test.ts
+++ b/test/coverage-test/coverage-report-tests/generic.report.test.ts
@@ -90,7 +90,7 @@ test('files should not contain a setup file', () => {
 test('thresholds.autoUpdate updates thresholds', async () => {
   const configFilename = resolve('./vitest.config.ts')
   const mod = parseModule(fs.readFileSync(configFilename, 'utf-8'))
-  const thresholds = mod.exports.default.$args[0].test.coverage.thresholds
+  const thresholds = mod.exports.default.$args[0].$body.test.coverage.thresholds
 
   // Configuration has fixed value of 1.01 and 0 set for each threshold
   expect(Number.parseInt(thresholds.functions)).toBeGreaterThan(1.01)
diff --git a/test/coverage-test/package.json b/test/coverage-test/package.json
index 48f5f21b4b95..1393431bb3c6 100644
--- a/test/coverage-test/package.json
+++ b/test/coverage-test/package.json
@@ -23,7 +23,7 @@
     "happy-dom": "latest",
     "istanbul-lib-coverage": "^3.2.0",
     "istanbul-lib-report": "^3.0.1",
-    "magicast": "^0.3.2",
+    "magicast": "^0.3.3",
     "vite": "latest",
     "vitest": "workspace:*",
     "vue": "latest",
diff --git a/test/coverage-test/vitest.config.ts b/test/coverage-test/vitest.config.ts
index a6aae64bead2..01cf624633c4 100644
--- a/test/coverage-test/vitest.config.ts
+++ b/test/coverage-test/vitest.config.ts
@@ -6,7 +6,7 @@ import remapping from '@ampproject/remapping'
 
 const provider = process.argv[1 + process.argv.indexOf('--provider')]
 
-export default defineConfig({
+export default defineConfig(() => ({
   plugins: [
     vue(),
     /*
@@ -104,4 +104,4 @@ export default defineConfig({
       './src/another-setup.ts',
     ],
   },
-})
+}))