I am having the same issue. I am coming in from the Microsoft RDP client in android and a client on Windows 7. The local admin account works, but the live linked account does not. I tried using the local representation of the live account but that had the same result. Next I added the providerswhitelist into regedit, installed 3.1.1 and rebooted. That did not help. All resource forwarding is cancelled.
Has anyone had success with a workaround? Looks like disabling CredSSP is the leading contender.