diff --git a/extensions/sql-bindings/package.json b/extensions/sql-bindings/package.json
index 52897ba289..67a6520ca3 100644
--- a/extensions/sql-bindings/package.json
+++ b/extensions/sql-bindings/package.json
@@ -2,7 +2,7 @@
   "name": "sql-bindings-vscode",
   "displayName": "%displayName%",
   "description": "%description%",
-  "version": "0.3.1",
+  "version": "0.4.0",
   "publisher": "ms-mssql",
   "preview": true,
   "engines": {
diff --git a/extensions/sql-bindings/src/services/azureFunctionsService.ts b/extensions/sql-bindings/src/services/azureFunctionsService.ts
index 4a68bc8f26..f3e9ec1a93 100644
--- a/extensions/sql-bindings/src/services/azureFunctionsService.ts
+++ b/extensions/sql-bindings/src/services/azureFunctionsService.ts
@@ -242,8 +242,8 @@ export async function createAzureFunction(node?: ITreeNodeInfo): Promise<void> {
 		telemetryStep = CreateAzureFunctionStep.createFunctionAPI;
 		await azureFunctionApi.createFunction({
 			language: 'C#',
-			targetFramework: 'netcoreapp3.1',
-			version: '~3',
+			targetFramework: 'net6.0',
+			version: '~4',
 			templateId: templateId,
 			functionName: functionName,
 			functionSettings: {