xEventGroupWaitBits returns 0x00ffffff

No, not using ISR. I worked once in an OS that timers were using ISRs under the cover and just wanted to ensure this was not the case.

Piggybacking another question but in this same context: It says not to use blocking calls in timers. Would xGroupSetBits ever block? Also, if the timer runs every 250ms, would the OS switch to the task waiting on xGroupWaitBits sufficiently as often?

Thanks

https://www.freertos.org/xEventGroupSetBits.html does not have a block time parameter, and you can also look through the implementation to see it doesn’t block - so no it won’t
block.