The SPDIF output from TrueHD and dts-MA tracks on Blu-ray sounds great, rivaling lossless in quality. So, you really aren't losing anything there in terms of sound quality. However, those outputs are limited to 5.1, meaning you will always need to use a DSP such PLIIx to generate 7.1.
Do not route BD audio though your TV since it will not pass DTS, which is the only kind of English language track on most BDs. The TV will tell the player to do the decoding itself and then downmix the resulting PCM to stereo, which is what will get sent to your AVR.
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