VLC Video Source squeezes 16:9 Twitch Streams

Operating System Info

Windows 10

Other OS

No response

OBS Studio Version

28.1.2

OBS Studio Version (Other)

No response

OBS Studio Log URL

https://obsproject.com/logs/WKissVGe0z_M5T8w

OBS Studio Crash Log URL

No response

Expected Behavior

When I open Twitch Streams (.m3u8) using the VLC Video Source, the Video is played in its actual size & format.
So when i ey Open a 1920x1080 Stream on a 1920x1080 Canvas Resolution it should fill the screen (STRG+R or STRG+F) without any cutting, gaps or black bars.

Current Behavior

After using STRG+F to fit (not stretch) the 16:9 Video to the 16:9 Canvas Resolution, there are slim black bars on left and right of the video.

Steps to Reproduce

1. Open any 16:9 Stream on Twitch and extract the m3u8 out of the browser console in the network tab (How to)
2. For example you could use the ESL_CSGO Stream
3. Open OBS
4. Go to Settings -> Video -> Set the Canvas to 1920x1080 (16:9)
5. Add a VLC Video Source with the URL above (from ESL_CSGO or any other m3u8 u extract from Twitch)
6. Transform the Source -> Fit to Screen (STRG+F)
7. observe: There are now black bars on the left and right
8. Open the same URL directly in VLC
9. Toggle the format between default/standard and "16:9"
10. Observe: No difference is made by toggling the format between default/standard and 16:9
    ...

Anything else we should know?

Also reproduced on OBS 27.2.4 (portable)
Right now only tested for Twitch Streams using the m3u8, not for other sources.
With Browser Source there is no issue (interact with the source and fullscreen the stream)

I am aware about my issue with Windows 10 (Update Issue), i will reinstall my PC in a few days, not sure if this is related.
I have other issues with Game Captures which seem to be related with my Windows Issue, here i am not sure yet, i will inform you after further testing (on other systems)

Start by reproducing the issue with the VLC Video Source, the supplied Twitch .m3u8 stream, and a 1920x1080 canvas, then compare Fit to Screen with playback in VLC. Done means a 16:9 stream fills a matching canvas without the reported side bars, while preserving the source aspect ratio.