TS2769: No overload matches this call error when typing component emits using <script setup>

[iraklisg]

Version

2.7.5

Reproduction link

github.com

Steps to reproduce

1. Clone the reproduction repo git clone https://github.com/iraklisg/mix-ts-vue-script-setup.git
2. Build the assets npm run dev

What is expected?

To build the assets without errors

What is actually happening?

The following TS error occurs

TS2769: No overload matches this call.
The last overload gave the following error.
Type '(this: void, __props: Readonly<Readonly<LooseRequired<{}>>>, { emit }: { emit: (e: "clicked") => void; expose: any; slots: any; attrs: any; }) => { __sfc: boolean; emit: (e: "clicked") => void; }' is not assignable to type 'SetupFunction<Readonly<LooseRequired<{}>>, { __sfc: boolean; emit: (e: "clicked") => void; }, "clicked"[]>'.
Types of parameters '__1' and 'ctx' are incompatible.
Property 'expose' is missing in type 'SetupContext<"clicked"[]>' but required in type '{ emit: (e: "clicked") => void; expose: any; slots: any; attrs: any; }'.

---

Defining a type literal to be used as the type of the returned emit function results to an error.
Using the defineEmits macro without returning does not produce errors

// This does not produce errors
defineEmits<{
    (e: 'clicked'): void;
}>();


// This produces errors
const emit = defineEmits<{
    (e: 'clicked'): void;
}>();

const doSomething = () => {
    // ...
    emit('clicked');
};

The assets are build using webpack (laravel-mix)

• Laravel Mix Version: 6.0.49
• Node Version: 18.1.0
• NPM Version: 8.8.0:
• OS: Linux