Provisioning profile with network extension capability giving error after adding packet tunnel capability in xcode

I am working on mac app development which will be distributed outside the App Store.

I added the network extension capability to my project and created a bundle id and provisioning profile with the same feature. When I configured the provisioning profile using Xcode (manual signing), it was configured fine.

But when I added the packet tunnel capability to my network extension, it started giving me an error.

I have created a Developer ID Application Certificate and use it when creating a provisioning profile.

I have followed steps mentioned here for doing same: Distribute outside the Mac App Store (macOS), Network Extensions Entitlement

Is this any Xcode bug or am I missing something? Please check screenshot below for error.