diff --git a/packages/language-core/lib/codegen/script/template.ts b/packages/language-core/lib/codegen/script/template.ts
index 433bb591e4..92a49bf7ac 100644
--- a/packages/language-core/lib/codegen/script/template.ts
+++ b/packages/language-core/lib/codegen/script/template.ts
@@ -127,15 +127,15 @@ function* generateTemplateBody(
 			yield `const __VLS_slots = {}${endOfLine}`;
 		}
 		yield `const __VLS_inheritedAttrs = {}${endOfLine}`;
-		yield `const $refs = {}${endOfLine}`;
-		yield `const $el = {} as any${endOfLine}`;
+		yield `const __VLS_refs = {}${endOfLine}`;
+		yield `const __VLS_rootEl = {} as any${endOfLine}`;
 	}
 
 	yield `return {${newLine}`;
 	yield `	attrs: {} as Partial<typeof __VLS_inheritedAttrs>,${newLine}`;
 	yield `	slots: ${options.scriptSetupRanges?.defineSlots?.name ?? '__VLS_slots'},${newLine}`;
-	yield `	refs: $refs,${newLine}`;
-	yield `	rootEl: $el,${newLine}`;
+	yield `	refs: __VLS_refs,${newLine}`;
+	yield `	rootEl: __VLS_rootEl,${newLine}`;
 	yield `}${endOfLine}`;
 }
 
diff --git a/packages/language-core/lib/codegen/template/context.ts b/packages/language-core/lib/codegen/template/context.ts
index 662ee6cff2..6996375ee6 100644
--- a/packages/language-core/lib/codegen/template/context.ts
+++ b/packages/language-core/lib/codegen/template/context.ts
@@ -103,6 +103,7 @@ export function createTemplateCodegenContext(options: Pick<TemplateCodegenOption
 		},
 	});
 	const localVars = new Map<string, number>();
+	const specialVars = new Set<string>();
 	const accessExternalVariables = new Map<string, Set<number>>();
 	const slots: {
 		name: string;
@@ -132,6 +133,7 @@ export function createTemplateCodegenContext(options: Pick<TemplateCodegenOption
 		slots,
 		dynamicSlots,
 		codeFeatures,
+		specialVars,
 		accessExternalVariables,
 		lastGenericComment,
 		hasSlotElements,
diff --git a/packages/language-core/lib/codegen/template/element.ts b/packages/language-core/lib/codegen/template/element.ts
index a52dd842ea..0718a89b73 100644
--- a/packages/language-core/lib/codegen/template/element.ts
+++ b/packages/language-core/lib/codegen/template/element.ts
@@ -277,16 +277,10 @@ export function* generateComponent(
 		yield `let ${var_componentEvents}!: __VLS_NormalizeEmits<typeof ${var_componentEmit}>${endOfLine}`;
 	}
 
-	if (
-		options.vueCompilerOptions.fallthroughAttributes
-		&& (
-			node.props.some(prop => prop.type === CompilerDOM.NodeTypes.DIRECTIVE && prop.name === 'bind' && prop.exp?.loc.source === '$attrs')
-			|| node === ctx.singleRootNode
-		)
-	) {
-		const varAttrs = ctx.getInternalVariable();
-		ctx.inheritedAttrVars.add(varAttrs);
-		yield `var ${varAttrs}!: Parameters<typeof ${var_functionalComponent}>[0];\n`;
+	if (hasVBindAttrs(options, ctx, node)) {
+		const attrsVar = ctx.getInternalVariable();
+		ctx.inheritedAttrVars.add(attrsVar);
+		yield `let ${attrsVar}!: Parameters<typeof ${var_functionalComponent}>[0];\n`;
 	}
 
 	const slotDir = node.props.find(p => p.type === CompilerDOM.NodeTypes.DIRECTIVE && p.name === 'slot') as CompilerDOM.DirectiveNode;
@@ -365,13 +359,7 @@ export function* generateElement(
 		yield* generateElementChildren(options, ctx, node);
 	}
 
-	if (
-		options.vueCompilerOptions.fallthroughAttributes
-		&& (
-			node.props.some(prop => prop.type === CompilerDOM.NodeTypes.DIRECTIVE && prop.name === 'bind' && prop.exp?.loc.source === '$attrs')
-			|| node === ctx.singleRootNode
-		)
-	) {
+	if (hasVBindAttrs(options, ctx, node)) {
 		ctx.inheritedAttrVars.add(`__VLS_intrinsicElements.${node.tag}`);
 	}
 }
@@ -625,6 +613,21 @@ function* generateReferencesForElements(
 	return [];
 }
 
+function hasVBindAttrs(
+	options: TemplateCodegenOptions,
+	ctx: TemplateCodegenContext,
+	node: CompilerDOM.ElementNode
+) {
+	return options.vueCompilerOptions.fallthroughAttributes && (
+		node === ctx.singleRootNode ||
+		node.props.some(prop =>
+			prop.type === CompilerDOM.NodeTypes.DIRECTIVE
+			&& prop.name === 'bind'
+			&& prop.exp?.loc.source === '$attrs'
+		)
+	);
+}
+
 function camelizeComponentName(newName: string) {
 	return camelize('-' + newName);
 }
diff --git a/packages/language-core/lib/codegen/template/elementProps.ts b/packages/language-core/lib/codegen/template/elementProps.ts
index c55084e82b..95a1b64ecb 100644
--- a/packages/language-core/lib/codegen/template/elementProps.ts
+++ b/packages/language-core/lib/codegen/template/elementProps.ts
@@ -145,7 +145,6 @@ export function* generateElementProps(
 					prop,
 					prop.exp,
 					ctx.codeFeatures.all,
-					prop.arg?.loc.start.offset === prop.exp?.loc.start.offset,
 					enableCodeFeatures
 				),
 				`)`
@@ -257,7 +256,6 @@ export function* generateElementProps(
 						prop,
 						prop.exp,
 						ctx.codeFeatures.all,
-						false,
 						enableCodeFeatures
 					)
 				);
@@ -279,9 +277,10 @@ function* generatePropExp(
 	prop: CompilerDOM.DirectiveNode,
 	exp: CompilerDOM.SimpleExpressionNode | undefined,
 	features: VueCodeInformation,
-	isShorthand: boolean,
 	enableCodeFeatures: boolean
 ): Generator<Code> {
+	const isShorthand = prop.arg?.loc.start.offset === prop.exp?.loc.start.offset;
+
 	if (isShorthand && features.completion) {
 		features = {
 			...features,
diff --git a/packages/language-core/lib/codegen/template/index.ts b/packages/language-core/lib/codegen/template/index.ts
index b19c0d461d..565cb4f87a 100644
--- a/packages/language-core/lib/codegen/template/index.ts
+++ b/packages/language-core/lib/codegen/template/index.ts
@@ -35,26 +35,38 @@ export function* generateTemplate(options: TemplateCodegenOptions): Generator<Co
 	if (options.propsAssignName) {
 		ctx.addLocalVariable(options.propsAssignName);
 	}
-	ctx.addLocalVariable(getSlotsPropertyName(options.vueCompilerOptions.target));
-	ctx.addLocalVariable('$attrs');
-	ctx.addLocalVariable('$refs');
-	ctx.addLocalVariable('$el');
+	const slotsPropertyName = getSlotsPropertyName(options.vueCompilerOptions.target);
+	ctx.specialVars.add(slotsPropertyName);
+	ctx.specialVars.add('$attrs');
+	ctx.specialVars.add('$refs');
+	ctx.specialVars.add('$el');
 
 	if (options.template.ast) {
 		yield* generateTemplateChild(options, ctx, options.template.ast, undefined);
 	}
 
 	yield* generateStyleScopedClassReferences(ctx);
-	yield* generateSlots(options, ctx);
-	yield* generateInheritedAttrs(ctx);
-	yield* generateRefs(ctx);
-	yield* generateRootEl(ctx);
+	const speicalTypes = [
+		[slotsPropertyName, yield* generateSlots(options, ctx)],
+		['$attrs', yield* generateInheritedAttrs(ctx)],
+		['$refs', yield* generateRefs(ctx)],
+		['$el', yield* generateRootEl(ctx)]
+	];
+
+	yield `var __VLS_special!: {${newLine}`;
+	for (const [name, type] of speicalTypes) {
+		yield `${name}: ${type}${endOfLine}`;
+	}
+	yield `} & { [K in keyof typeof __VLS_ctx]: unknown }${endOfLine}`;
 
 	yield* ctx.generateAutoImportCompletion();
 	return ctx;
 }
 
-function* generateSlots(options: TemplateCodegenOptions, ctx: TemplateCodegenContext): Generator<Code> {
+function* generateSlots(
+	options: TemplateCodegenOptions,
+	ctx: TemplateCodegenContext
+): Generator<Code> {
 	if (!options.hasDefineSlots) {
 		yield `var __VLS_slots!: `;
 		for (const { expVar, varName } of ctx.dynamicSlots) {
@@ -86,21 +98,22 @@ function* generateSlots(options: TemplateCodegenOptions, ctx: TemplateCodegenCon
 		}
 		yield `}${endOfLine}`;
 	}
-	const name = getSlotsPropertyName(options.vueCompilerOptions.target);
-	yield `var ${name}!: typeof ${options.slotsAssignName ?? '__VLS_slots'}${endOfLine}`;
+	return `typeof ${options.slotsAssignName ?? `__VLS_slots`}`;
 }
 
-function* generateInheritedAttrs(ctx: TemplateCodegenContext): Generator<Code> {
+function* generateInheritedAttrs(
+	ctx: TemplateCodegenContext
+): Generator<Code> {
 	yield 'let __VLS_inheritedAttrs!: {}';
 	for (const varName of ctx.inheritedAttrVars) {
 		yield ` & typeof ${varName}`;
 	}
 	yield endOfLine;
-	yield `var $attrs!: Partial<typeof __VLS_inheritedAttrs> & Record<string, unknown>${endOfLine}`;
 
 	if (ctx.bindingAttrLocs.length) {
 		yield `[`;
 		for (const loc of ctx.bindingAttrLocs) {
+			yield `__VLS_special.`;
 			yield [
 				loc.source,
 				'template',
@@ -111,9 +124,12 @@ function* generateInheritedAttrs(ctx: TemplateCodegenContext): Generator<Code> {
 		}
 		yield `]${endOfLine}`;
 	}
+	return `Partial<typeof __VLS_inheritedAttrs> & Record<string, unknown>`;
 }
 
-function* generateRefs(ctx: TemplateCodegenContext): Generator<Code> {
+function* generateRefs(
+	ctx: TemplateCodegenContext
+): Generator<Code> {
 	yield `const __VLS_refs = {${newLine}`;
 	for (const [name, [varName, offset]] of ctx.templateRefs) {
 		yield* generateStringLiteralKey(
@@ -124,16 +140,16 @@ function* generateRefs(ctx: TemplateCodegenContext): Generator<Code> {
 		yield `: ${varName},${newLine}`;
 	}
 	yield `}${endOfLine}`;
-	yield `var $refs!: typeof __VLS_refs${endOfLine}`;
+	return `typeof __VLS_refs`;
 }
 
-function* generateRootEl(ctx: TemplateCodegenContext): Generator<Code> {
-	if (ctx.singleRootElType) {
-		yield `var $el!: ${ctx.singleRootElType}${endOfLine}`;
-	}
-	else {
-		yield `var $el!: any${endOfLine}`;
-	}
+function* generateRootEl(
+	ctx: TemplateCodegenContext
+): Generator<Code> {
+	yield `let __VLS_rootEl!: `;
+	yield ctx.singleRootElType ?? `any`;
+	yield endOfLine;
+	return `typeof __VLS_rootEl`;
 }
 
 export function* forEachElementNode(node: CompilerDOM.RootNode | CompilerDOM.TemplateChildNode): Generator<CompilerDOM.ElementNode> {
diff --git a/packages/language-core/lib/codegen/template/interpolation.ts b/packages/language-core/lib/codegen/template/interpolation.ts
index f66fb18eea..366b606971 100644
--- a/packages/language-core/lib/codegen/template/interpolation.ts
+++ b/packages/language-core/lib/codegen/template/interpolation.ts
@@ -71,6 +71,12 @@ export function* generateInterpolation(
 	}
 }
 
+interface CtxVar {
+	text: string;
+	isShorthand: boolean;
+	offset: number;
+};
+
 function* forEachInterpolationSegment(
 	ts: typeof import('typescript'),
 	destructuredPropNames: Set<string> | undefined,
@@ -80,20 +86,16 @@ function* forEachInterpolationSegment(
 	offset: number | undefined,
 	ast: ts.SourceFile
 ): Generator<[fragment: string, offset: number | undefined, type?: 'errorMappingOnly' | 'startText' | 'endText']> {
-	let ctxVars: {
-		text: string,
-		isShorthand: boolean,
-		offset: number,
-	}[] = [];
+	let ctxVars: CtxVar[] = [];
 
 	const varCb = (id: ts.Identifier, isShorthand: boolean) => {
 		const text = getNodeText(ts, id, ast);
 		if (
-			ctx.hasLocalVariable(text) ||
+			ctx.hasLocalVariable(text)
 			// https://github.com/vuejs/core/blob/245230e135152900189f13a4281302de45fdcfaa/packages/compiler-core/src/transforms/transformExpression.ts#L342-L352
-			isGloballyAllowed(text) ||
-			text === 'require' ||
-			text.startsWith('__VLS_')
+			|| isGloballyAllowed(text)
+			|| text === 'require'
+			|| text.startsWith('__VLS_')
 		) {
 			// localVarOffsets.push(localVar.getStart(ast));
 		}
@@ -132,7 +134,7 @@ function* forEachInterpolationSegment(
 			const curVar = ctxVars[i];
 			const nextVar = ctxVars[i + 1];
 
-			yield* generateVar(code, destructuredPropNames, templateRefNames, curVar, nextVar);
+			yield* generateVar(code, ctx.specialVars, destructuredPropNames, templateRefNames, curVar, nextVar);
 
 			if (nextVar.isShorthand) {
 				yield [code.slice(curVar.offset + curVar.text.length, nextVar.offset + nextVar.text.length), curVar.offset + curVar.text.length];
@@ -144,7 +146,7 @@ function* forEachInterpolationSegment(
 		}
 
 		const lastVar = ctxVars.at(-1)!;
-		yield* generateVar(code, destructuredPropNames, templateRefNames, lastVar);
+		yield* generateVar(code, ctx.specialVars, destructuredPropNames, templateRefNames, lastVar);
 		if (lastVar.offset + lastVar.text.length < code.length) {
 			yield [code.slice(lastVar.offset + lastVar.text.length), lastVar.offset + lastVar.text.length, 'endText'];
 		}
@@ -156,18 +158,11 @@ function* forEachInterpolationSegment(
 
 function* generateVar(
 	code: string,
+	specialVars: Set<string>,
 	destructuredPropNames: Set<string> | undefined,
 	templateRefNames: Set<string> | undefined,
-	curVar: {
-		text: string,
-		isShorthand: boolean,
-		offset: number,
-	},
-	nextVar: {
-		text: string,
-		isShorthand: boolean,
-		offset: number,
-	} = curVar
+	curVar: CtxVar,
+	nextVar: CtxVar = curVar
 ): Generator<[fragment: string, offset: number | undefined, type?: 'errorMappingOnly']> {
 	// fix https://github.com/vuejs/language-tools/issues/1205
 	// fix https://github.com/vuejs/language-tools/issues/1264
@@ -181,7 +176,10 @@ function* generateVar(
 		yield [`)`, undefined];
 	}
 	else {
-		if (!isDestructuredProp) {
+		if (specialVars.has(curVar.text)) {
+			yield [`__VLS_special.`, undefined];
+		}
+		else if (!isDestructuredProp) {
 			yield [`__VLS_ctx.`, undefined];
 		}
 		yield [code.slice(curVar.offset, curVar.offset + curVar.text.length), curVar.offset];
diff --git a/packages/language-core/lib/plugins/vue-tsx.ts b/packages/language-core/lib/plugins/vue-tsx.ts
index 42e6015679..48d33f31b6 100644
--- a/packages/language-core/lib/plugins/vue-tsx.ts
+++ b/packages/language-core/lib/plugins/vue-tsx.ts
@@ -189,7 +189,7 @@ function createTsx(
 			slotsAssignName: slotsAssignName.get(),
 			propsAssignName: propsAssignName.get(),
 			inheritAttrs: inheritAttrs.get(),
-			selfComponentName: selfComponentName.get()
+			selfComponentName: selfComponentName.get(),
 		});
 
 		let current = codegen.next();
@@ -202,7 +202,7 @@ function createTsx(
 
 		return {
 			...current.value,
-			codes: codes,
+			codes,
 		};
 	});
 	const generatedScript = computed(() => {