Preheat oven to 400 degrees F. Line a baking sheet with parchment paper.
In a large bowl, combine ground beef, Italian sausage, onion, Panko, milk, egg, Parmesan, parsley, garlic and basil; season with 1 teaspoon salt and 1/2 teaspoon pepper. Using a wooden spoon or clean hands, stir until well combined. Roll the mixture into 1-to-1-1/4-inch meatballs, forming about 30-32 meatballs.
Place meatballs in a single layer onto the prepared baking sheet. Place into oven and bake until cooked through, about 18-20 minutes; set aside.
Melt butter in a large stockpot or Dutch oven over medium heat. Add onion, and cook, stirring frequently, until translucent, about 2-3 minutes. Stir in garlic until fragrant, about 1 minute.
Stir in wine, scraping any browned bits from the bottom of the pot.
Stir in tomatoes and Italian seasoning; season with salt and pepper, to taste. Bring to a boil; reduce heat and simmer until flavors have blended, about 10 minutes.
Stir in meatballs until heated through and evenly coated in sauce, about 3-5 minutes.
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