diff --git a/CHANGELOG.md b/CHANGELOG.md
index 23dde12502..2440da01b8 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -5,6 +5,7 @@
 - Upgrade `@prettier/plugin-pug` to fix formatter issues. #2347.
 - Fix files with CRLF having errors with wrong range. #1319.
 - 🙌 Fix collapse code missing end mark. Thanks to contribution from [@yoyo930021](https://github.com/yoyo930021). #2303 and #2352.
+- 🙌 Respect include exclude files options in tsconfig for ts js external files. Thanks to contribution from [@yoyo930021](https://github.com/yoyo930021). #2339 and #2371.
 - 🙌 Fix undefined valueDeclaration in props crashing vls. Thanks to contribution from [@javiertury](https://github.com/javiertury). #2367.
 - 🙌 Reduce recreate ts program when no need for ts perf. Thanks to contribution from [@yoyo930021](https://github.com/yoyo930021). #2192 and #2328.
 - 🙌 Display VTI errors. Thanks to contribution from [@yoyo930021](https://github.com/yoyo930021). #2324 and #2330.
diff --git a/server/src/services/typescriptService/serviceHost.ts b/server/src/services/typescriptService/serviceHost.ts
index 4066dad4ab..92101f60da 100644
--- a/server/src/services/typescriptService/serviceHost.ts
+++ b/server/src/services/typescriptService/serviceHost.ts
@@ -198,6 +198,19 @@ export function getServiceHost(
 
   // External Documents: JS/TS, non Vue documents
   function updateExternalDocument(fileFsPath: string) {
+    // respect tsconfig
+    // use *internal* function
+    const configFileSpecs = (parsedConfig as any).configFileSpecs;
+    const isExcludedFile = (tsModule as any).isExcludedFile;
+    if (
+      isExcludedFile &&
+      configFileSpecs &&
+      isExcludedFile(fileFsPath, configFileSpecs, workspacePath, true, workspacePath)
+    ) {
+      return;
+    }
+    logger.logInfo(`update ${fileFsPath} in ts language service.`);
+
     const ver = versions.get(fileFsPath) || 0;
     versions.set(fileFsPath, ver + 1);
     projectVersion++;
diff --git a/test/lsp/features/completion/script.test.ts b/test/lsp/features/completion/script.test.ts
index b1540b7074..133896c0ff 100644
--- a/test/lsp/features/completion/script.test.ts
+++ b/test/lsp/features/completion/script.test.ts
@@ -30,7 +30,7 @@ describe.only('Should autocomplete for <script>', () => {
 
   it('completes literal string', async () => {
     await testCompletion(literalUri, position(3, 6), ['black', 'blue']);
-  })
+  });
 
   it('completes optional properties in object', async () => {
     await testCompletion(kindModifiersUri, position(12, 8), [{ label: 'b?', insertTextValue: '?.b' }]);