If I get banned, will I get my money back and all of the gift card money back?

As Koods states, if you get banned you won't get any money back. if it is a console ban you will be able to play your games offline.

No you won't. Actually whatever you purchase digitally be it games or movies, you only purchase a license to use them, you never get ownership rights to it, on any platform.

As others have stated: if you're banned you forfeit any balance remaining.

Hello,

Upon receiving any permanent suspentions, or bans, you forfeit all content licenses, gold memberships, and microsoft account balances that are associated with the banned account.

That would also include gift card balances you have redeemed on your account.

CONDUCT IN XBOX LIVE

What is considered conduct in Xbox Live?

Conduct is anything you do that impacts yourself, others, Microsoft or Xbox Live.

What are examples of conduct that is prohibited in Xbox?

(Note: the examples below are just a few examples of Conduct prohibited by the Microsoft Code of Conduct. Just because something isn't on this list doesn't mean it's OK.)

• Don’t create, share, use, or promote prohibited Content.
• Don’t engage in illegal activity. For example, don't:
  • Threaten to physically hurt others
  • Spread lies about someone, a product, a business, or a group
  • Post a nude photo knowing the subject of the photo meant for it to be kept private
    
  • Extort or otherwise threaten action unless you get something you want
• Don’t harm or harass. For example, don't:
  • Engage in self-harm
  • Encourage violence against people or animals
  • Scream at, intimidate, or bully others
  • Violate another person's privacy (e.g., share someone’s personal information like home address)
    
  • Fail to protect your account, devices, and personal information (e.g., lend your credentials, post your private information publicly, fail to supervise your devices)
    
• Don’t harm Microsoft, Xbox Live, or another person's device. For example, don't:
  • Post links to malware
  • Interfere with another's ability to access their network or device
  • Interfere with Xbox Live
• Don’t cheat or tamper. For example, don't:
  • Use unauthorized hardware or software
  • Exploit game vulnerabilities or glitches
  • Make unauthorized modifications to your account profile or its contents (e.g., tenure, Avatar, game saves, Gamerscore, achievements)
    
  • Intentionally play with someone who is using unauthorized software or methods
    
• Don’t pirate or use another's content without permission. For example, don't:
  • Share content more broadly than you're allowed to share
  • Use another's intellectual property without permission (e.g., copyrights, trade secrets)
    
  • Play any illegitimately obtained software or pirated games
  • Play a game before it has been authorized for play on the service
• Don’t engage in fraud or unauthorized transactions. For example, don't:
  • Lend, transfer, sell, or otherwise provide third parties access to your accounts or Gamertags
    
  • Access or attempt to access accounts that you do not own
  • Purchase memberships, games, gift cards, account credit, or content from unauthorized parties
    
  • Attempt to use or share fraudulent methods for getting memberships, games, gift cards, account credit, content, or hardware
    
  • Use your account to trade services or in-game content for memberships, games, gift cards, account credit, or content
    
  • Resell or redistribute any part of Xbox Live
  • Impersonate another person (e.g., Microsoft staff, moderators, employees of game developers, publishers, or other Xbox partners)
    
• Don’t use Xbox Live for commercial purposes. For example, don't:
  • Create an account for a business entity
  • Advertise any product or service in Xbox Live
• Don’t promote prohibited Conduct.

CONTENT IN XBOX LIVE

What is considered content in Xbox Live?

Content is anything you create, share, use, or promote that another person could see or hear or otherwise experience, like Gamertags, profile information, in-game content, and videos.

What are examples of content that is prohibited in Xbox Live?

(Note: the examples below are just a few examples of Content prohibited by the Microsoft Code of Conduct. Just because something isn't on this list doesn't mean it's OK.)

• Content involving illegality. For example:
  • Gambling, piracy, child pornography, obscenity, or criminal activity
  • Underage drinking, illegal drug use, or socially irresponsible behavior connected with drug use (e.g., drinking and driving)
    
  • Terrorism (e.g., bomb or other weapon making instructions)
  • Information that could help identity thieves (e.g., government-issued identification number)
    
• Content that could harm or harass a person, including yourself, or an animal. For example:
  • Profane words or phrases
  • Suicide-related content
  • (Note: the examples below are just a few examples of the type of behavior prohibited by the Microsoft Code of Conduct. Just because something isn't on this list doesn't mean it's OK.)
    
  • Negative speech (including hate speech or threats of harm) directed at people who belong to a group, including groups based on race, ethnicity, nationality, language, gender, age, disability, veteran status, religion, or sexual orientation/expression
    
  • "Noise", which is excessive speech intended to interfere with or disrupt another person's or group's ability to enjoy a game or app on Xbox Live
    
  • Content showing or promoting animal abuse
• Content that is controversial. For example:
  • Sexual, provocative, pornographic, or adult content
  • Violent content
  • Controversial religious content
  • Anything involving notorious people or organizations
  • Anything involving sensitive events, current or historical
• Content that is unauthorized. For example:
  • Images and other content you don't have permission to use
  • Illegitimately obtained videos
• Content that promotes, or sounds or looks like words, phrases, puns, images or imagery that refer to any prohibited content
  

CONSEQUENCES

A violation of the Microsoft Code of Conduct may be cause for these or other actions:

• Automatic assignment of a new Gamertag, if you create an inappropriate Gamertag.
  
• Content deletion, if you create or use inappropriate Content.
• Restrictions (e.g., communications, multiplayer, account access) on your use of Xbox Live services, if you abuse those services.
  
• Permanent suspension or device ban, if you commit an egregious violation that includes, but is not limited to: hacking, modding, profile tampering, fraud, trading or stealing accounts or Gamertags, severe racial remarks, impersonating Xbox staff, displaying
  nudity, repeatedly creating inappropriate Gamertags or profile content, distributing URLs to phishing sites.
  
• Permanent suspension or device ban, if you try to avoid suspension with alternate accounts and/or devices.
  
• Permanent suspension or device ban, if you repeatedly commit violations.

UPON RECEIVING A PERMANENT SUSPENSION, YOU FORFEIT ALL CONTENT LICENSES, GOLD MEMBERSHIP TIME, AND MICROSOFT ACCOUNT BALANCES ASSOCIATED WITH THE SUSPENDED ACCOUNT.