Same problem here as shown in the screenshot of Darren. "iOS 17.0" is grayed out and clicking on the "Get" button does not work. I used xcodebuild -downloadAllPlatforms in Terminal, but this downloaded and installed only simulators, not the SDK (?).
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Annoyingly, same bug here on 2015 iMac 5k running Big Sur 11.1
I have the exact same problem. .disable() or .allowsHitTesting() have no effect if the view below is a hosted UIKit view (in my case its a hosted UICollectionView). Taps and gestures are still captured by the SwiftUI View above the collection view.
The hack posted in the answer by @chase also does not work for me.