Error: PythonPipBuilder:Resolver - Path resolution for runtime: python3.8 of binary

Getting error while trying to run locally or during deployment even for a default/simple application. Not sure what I am missing here.

OS: Windows 10 64-bit
Visual Studio Code Version: 1.43.2
AWS Toolkit Version: 1.7.0
SAM CLI, version 0.46.2
Python 3.8.2 64-bit

Preparing to run app.lambda_handler locally...
Building SAM Application...
An error occurred trying to run SAM Application locally: Error with child process: Building resource 'awsToolkitSamLocalResource'
,Error: PythonPipBuilder:Resolver - Path resolution for runtime: python3.8 of binary: python was not successful

2020-03-28 13:41:15 [ERROR]: An error occurred trying to run SAM Application locally: Error with child process: Building resource 'awsToolkitSamLocalResource'
,Error: PythonPipBuilder:Resolver - Path resolution for runtime: python3.8 of binary: python was not successful Error: Error with child process: Building resource 'awsToolkitSamLocalResource'
,Error: PythonPipBuilder:Resolver - Path resolution for runtime: python3.8 of binary: python was not successful
at Object.t.logAndThrowIfUnexpectedExitCode (c:\Users\Administrator\.vscode\extensions\amazonwebservices.aws-toolkit-vscode-1.7.0\dist\extension.js:2:204623)
at t.SamCliBuildInvocation. (c:\Users\Administrator\.vscode\extensions\amazonwebservices.aws-toolkit-vscode-1.7.0\dist\extension.js:2:941526)
at Generator.next ()
at o (c:\Users\Administrator\.vscode\extensions\amazonwebservices.aws-toolkit-vscode-1.7.0\dist\extension.js:2:939757)


Start by reproducing the default application build on Windows with Python 3.8.2, SAM CLI 0.46.2, and the AWS Toolkit, then trace the SamCliBuildInvocation entry point mentioned in the stack trace. Check whether the Python runtime path-resolution failure comes from the toolkit invocation or SAM CLI; done means the default application builds locally without this error.

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