After using ton of hours on this I have finally found solution. None of the above nor on other websites worked. Solution is so simple it made me cry when I got everything to work.
Settings -> Restore -> Start restore -> Keep your files -> Use local (dont pick cloud because you are "not in the internet"). Wait until install files are downloaded, then restart computer and let it restart all your settings. After this it will update your Windows and you will have internet connection up again according to Windows. This was 1000 hours faster than all the time wasted on finding the solution for this. I guess sometimes just reinstalling is better solution.