diff --git a/src/PowerShellEditorServices/Services/Symbols/Visitors/SymbolVisitor.cs b/src/PowerShellEditorServices/Services/Symbols/Visitors/SymbolVisitor.cs
index 58d7f581a5..7603a73b2c 100644
--- a/src/PowerShellEditorServices/Services/Symbols/Visitors/SymbolVisitor.cs
+++ b/src/PowerShellEditorServices/Services/Symbols/Visitors/SymbolVisitor.cs
@@ -50,6 +50,8 @@ public override AstVisitAction VisitCommand(CommandAst commandAst)
 
     public override AstVisitAction VisitFunctionDefinition(FunctionDefinitionAst functionDefinitionAst)
     {
+        // Treat filter the same as function: both get SymbolType.Function so they appear in the
+        // outline and support child symbols (variables, nested functions, etc.) in the hierarchy.
         SymbolType symbolType = functionDefinitionAst.IsWorkflow
             ? SymbolType.Workflow
             : SymbolType.Function;
diff --git a/test/PowerShellEditorServices.Test.Shared/Symbols/MultipleSymbols.ps1 b/test/PowerShellEditorServices.Test.Shared/Symbols/MultipleSymbols.ps1
index 2831ea3320..79aacc0812 100644
--- a/test/PowerShellEditorServices.Test.Shared/Symbols/MultipleSymbols.ps1
+++ b/test/PowerShellEditorServices.Test.Shared/Symbols/MultipleSymbols.ps1
@@ -6,7 +6,7 @@ $Script:ScriptVar2 = 2
 
 function script:AFunction {}
 
-filter AFilter {$_}
+filter AFilter { $FilterVar = $_ }
 
 function AnAdvancedFunction {
     begin {
diff --git a/test/PowerShellEditorServices.Test/Language/SymbolsServiceTests.cs b/test/PowerShellEditorServices.Test/Language/SymbolsServiceTests.cs
index 593fddb040..c23a8e23fe 100644
--- a/test/PowerShellEditorServices.Test/Language/SymbolsServiceTests.cs
+++ b/test/PowerShellEditorServices.Test/Language/SymbolsServiceTests.cs
@@ -773,9 +773,9 @@ public void FindsSymbolsInFile()
             IEnumerable<SymbolReference> symbols = FindSymbolsInFile(FindSymbolsInMultiSymbolFile.SourceDetails);
 
             Assert.Equal(7, symbols.Count(i => i.Type == SymbolType.Function));
-            Assert.Equal(8, symbols.Count(i => i.Type == SymbolType.Variable));
+            Assert.Equal(9, symbols.Count(i => i.Type == SymbolType.Variable));
             Assert.Equal(4, symbols.Count(i => i.Type == SymbolType.Parameter));
-            Assert.Equal(12, symbols.Count(i => i.Id.StartsWith("var ")));
+            Assert.Equal(13, symbols.Count(i => i.Id.StartsWith("var ")));
             Assert.Equal(2, symbols.Count(i => i.Id.StartsWith("prop ")));
 
             SymbolReference symbol = symbols.First(i => i.Type == SymbolType.Function);
@@ -788,6 +788,12 @@ public void FindsSymbolsInFile()
             Assert.Equal("filter AFilter ()", symbol.Name);
             Assert.True(symbol.IsDeclaration);
 
+            // Verify that a variable declared inside a filter is tracked as a declaration,
+            // allowing it to appear as a child of the filter in the LSP outline hierarchy.
+            symbol = Assert.Single(symbols, i => i.Id == "var FilterVar");
+            Assert.Equal("$FilterVar", symbol.Name);
+            Assert.True(symbol.IsDeclaration);
+
             symbol = symbols.Last(i => i.Type == SymbolType.Variable);
             Assert.Equal("var nestedVar", symbol.Id);
             Assert.Equal("$nestedVar", symbol.Name);