Why can’t I hear Xbox party and in game voice chat at the same time?

Hello, first it's a pleasure to be able to help you today.

My name is welcome to the community.

Hello Freddie, on which platform you would be playing, Xbox or PC, does this happen with all games or only with some in particular?

Have you received any suspension or banfrom Enforcement?

You could tell how your NAT is, it is very important for multiplayer mode and party chat.

If you can give more details, I'll be waiting for your reply.

Did you ever find a solution? Mine does the same thing and I have an XBox One brand level 3 headset. Works fine on party chat, can hear people in game chat, they can’t hear me. I have voice overlay on and my name doesn’t even come up as if I am talking.
Checked all privacy settings, reset xbox, controller and console updated, etc..

This is the same problem I am having. Allow me to explain in detail.

When you enter party chat, game chat turns off and you are in the "party chat channel". This is so you can privately speak with your party and not the whole lobby. We all know this since it was the same on the 360.

When you are not in party chat you are in the "game chat channel" and therefore can speak with and hear other players in the online match lobby. Again we all know this since it was the same on the 360.

However, when you are in a Skype call on the Xbox One, and you go into an online match of any game, not only is yor voice broadcasting to your Skype call, it is broadcasting to the "game chat channel". You are also receiving the game chat audio through your
headset at the same time. Thus you are speaking with and hearing the entire lobby AND your Skype call at the same time. Therefore Skype is only viable as chat platform if you are in single player, which does not seem like it is working as intended.

I know it is not the Kinect because I have the option to use Kinect for voice chat turned off.

Why is Skype not its own channel that allows private communication?

You are right, most games handle the voice chat better than the party chat does. But we shouldn't have to configure the settings (for example only friends hear me) for every game. That's why something like a party chat exists.

I hope this is fixable.

Party chat is more private, where as in-game chat everyone in that session or within proximity of you will hear your voice, and you can hear their voices.