LinuxDiagnotic is not enabled for Azure Linux Virtual Machine Scale Set, this may make audit challenging.
The LinuxDiagnostic extension can be installed using the CLI or with Terraform. To learn more about how to install it using the CLI, see the Azure documentation (below).
In Terraform -
References:
https://learn.microsoft.com/en-us/azure/virtual-machine-scale-sets/
https://learn.microsoft.com/en-us/azure/virtual-machines/extensions/diagnostics-linux?tabs=azcli#install-the-extension
https://registry.terraform.io/providers/hashicorp/azurerm/latest/docs/resources/linux_virtual_machine_scale_set#extension