FaceTime screenshots on MacBook Pro not saving to Photo Library

When I take a screenshot on my 2020 Macbook Pro during a FaceTime call, these screenshots are not being saved to my Photos Library. However, on the screen I see the message that the screenshot has been taken.

When I open the Photos App, I do not see it in any folder including the live photos folder.

I recently updated the software to MacOS Big Sur Version 11.0.1 and still no luck. Additionally, I have restarted my laptop, logged in and out of FaceTime as well and still nothing.

I was with support for nearly 2-3 hrs and the issue was resolved temporarily. Now i'm back to square one with the same issue.

Is there something potentially wrong with the laptop? Or is it a bug for the 2020 Macbooks?