I've got a DC3217IYE kit connected to a Pioneer Elite SC-61 and I still have this problem even after installing the above mentioned drivers. I've verified my setup works with bitstreaming audio through my receiver with OpenElec.
any thoughts? Did I miss a documented solution somewhere else?
my video driver version: http://i.imgur.com/3VBgSSp.png
my Intel Management Engine version: http://i.imgur.com/c1c3FAv.png
EDID info showing support for the formats: http://i.imgur.com/gZalZ5C.png
audio properties window showing lack of encoded formats: http://i.imgur.com/A1pA9ai.png
Hope someone can help. This is such a bummer!