Blu Ray disc are encoded with two audio track. One is core and second is differential. By combination of both we get lossless audio. Now your Sony HTiB unit is only able to decode core( Dolby Digital or DTS) track which is than feed to AVR in the form of PCM out. Now your AVR only decoding PCM track (digital to analog signal) , so that you are getting PCM/LPCM/M IN etc on AVR. You need to set bitstream on Sony HTiB audio output settings and your Sony HTiB HDMI port needs to compatible with lossless audio formats.
Below information as per Sony manual.
x[Audio Output]
You can select the output method where the
audio signal is output.
[Speaker]: Outputs multi-channel sound
from the system’s speakers only.
[Speaker + HDMI]: Outputs multi-channel
sound from the system’s speakers and
2-channel linear PCM signals from the
HDMI (OUT) jack.
[HDMI]: Outputs sound from the HDMI
(OUT) jack only. Sound format depends on
the connected equipment.
• When [Control for HDMI] is set to [On]
(page 50), [Audio Output] is set to [Speaker +
HDMI] automatically and this setting cannot be
changed.
• When [Audio Output] is set to [HDMI], the
output signal format for the “TV” function is
2-channel linear PCM.
So does this means that if I set sound output to HDMI only then I can get TrueHD or DTS HD?
Or whatever setting change I do will get only 2-channel linear PCM.....