Finally I am able to redirect Xbox One Wireless Adapter to remote host via RDP.
The key step is to prevent installation of devices using drivers for the wireless adapter on the client Windows, before you redirect it to remote host.
To do so, change the setting in group policy editor (gpedit.msc) to block the driver installation for {4d36e972-e325-11ce-bfc1-08002be10318}:
Then if you uninstall the device from Device Manager and rescan, you will see a new device XBOX ACC but with no driver auto installed.
Then follow the troubleshooting article to force redirect of this device: https://learn.microsoft.com/en-us/troubleshoot/windows-client/remote/usb-devices-unavailable-remotefx-usb-redirection
Then in Remote Desktop client (mstsc) you will be able to see the device and redirect it.
Your remote host should be able to install driver for the redirected XBOX ACC. When driver installation is completed there will be a device Xbox One Wireless Adapter in Device Manager.
However, bad news is, you will see a BSOD on remote host when you try to pair the controller with the adapter. There is a similar issue discussed in https://www.gavpugh.com/2018/10/03/using-game-controllers-over-a-remote-desktop-session/ , which was about redirecting Xbox controller with USB cable. The root cause likely is the same.
Apparently Microsoft might have been working on this, but till today it is still an issue after I updated my devices with latest firmware and driver. I hope they can eventually publish a fix but no one knows when.
Hope above helps people who are having same problem in their remote gaming journey with Microsoft stuff.