Project setup issues in Intelij IDEA - Community Edition 2024.2 (java:diamond operator is not supported in source 1.5(use -source 7 or higher to enable diamond operator).)

Project setup issues in Intelij IDEA - Community Edition 2024.2.

Unable to run java applications, getting error as 

java:  diamond operator is not supported in -source 1.5

(use -source 7 or higher to enable diamond operator).

Please note that I am using jdk 1.8 in the Edit configurations → Buil&Run and in File→Settings→Complier→JavaCompiler

I am using maven spring boot project. Could you please help me to resolve this issue.

I am using the code as 

List<TestDTO> test = new ArrayList<>();