A "Merge Changeset" button (green arrow) will appear in Source Control Explorer that allows you to enter a changeset number. Then you can select a target branch from the related set of branches. After the merge, Pending Changes will be shown and the TFS associated work item will be added automatically. If there are any conflicts, the resolve conflicts tab will appear.
Version 1.8
The merge prefix is now stripped from a changeset comment that has one.
Version 1.7
Fixed invalid start index error that can occur when the source path is longer than the target.
Version 1.6
Fixed case with multiple workspaces, the Source Control Explorer workspace wouldn't be used in Pending Changes.
Fixed prompting that no changes were merged timing issue, when changes were in fact merged.
Version 1.5
Added prompt if no changes were merged, and does not add work items and comment in that case.
Version 1.4
Added better error handling when an invalid changeset number is specified.
Version 1.3
Adds check-in comment automatically containing that it is a merge including source and target branch names.
Version 1.2
Fixed resolve conflicts tab showing conflicts that should have been autoresolved.
Version 1.1
Fixed resolve conflicts tab showing when there were no conflicts.