@MohsinSait
Exactly, there are two issues here.
#1 the bluetooth device has to support some mythical protocol that Microsoft uses to allow the "Headset" profile. When you use both input and output at the same time the headset dervice has to be selected for both. This will have the audio output as low quality mono and the microphone active. You will not be able to use the high quality stereo output profile for the same device at the same time. In Microsoft Teams when I join a meeting I have it defaulted to use the Headset profile for both input and output so that my bluetooth headset works (MPOW H19 IPO). However I have another bluetooth Phaiser BH-530 device that shows in windows with a headset profile but does not work with the headset profile being selected on both the input and output for teams (hence the mythical protocol). Both headsets work great on my Android phone but only the MPOW works on windows.
#2 Windows does not tell you which protocols are support and expects the user to manage their sound devices in a confusing manner. How it should work is that if the microphone is not active then windows uses the stereo profile, when the microphone is active then windows uses the headset profile. This should be transparent to the user. Bluetooth 5.0 in theory is supposed to improve this however I have not found devices that support this yet.
I think the needed protocol is aptX but I am not positive. The Phaiser does not have aptx but the mpow does. But why does the headset profile show up in windows for the phaiser if it doesn't support aptx???
Overall bluetooth and windows is super hit and miss and Microsoft has failed at implementing this in a user friendly manner.