typescript outDir setting in tsconfig.json not working
When you pass in files for compilation with tsc src/index.ts, your tsconfig.json is ignored.
From the documentation:
When input files are specified on the command line, tsconfig.json files are ignored.
Your npm build script should just be tsc without passing any files.
If you are using the incremental compiler option, you may not be getting output if you have deleted / modified files in your outDir but have not removed the .tsbuildinfo file.
My issue was a bit different, but Google brought me here - so figured others may also.
In my case it was being ignored because I had noEmit: true in tsconfig.json. For whatever reason, the files still were emitted, but in the same directory instead of following outDir.
The config file was read correctly and this error also appeared when using the flag.