As I understand it, most (maybe all?) currently commercially available video streams use (typically low bitrate) lossy audio (ie. DD or DD+ underlying) for Atmos, not Dolby TrueHD, which is lossless.
_Man_
There's "pass-through", and then there's *real* pass-through.
Really depends on what the various devices actually do... because you're most likely *not* getting passive pass-through (at least) for HDMI, which means you need to make sure what comes out the other side is actually exactly what...
Well, yes and no. Something might not officially support it (according to maker/provider verbage) and yet still work just fine (as often enough the case w/ such things). We may have to get into case-by-case to know the specifics of why, etc, but more generally, at minimum, the HDMI spec(s) for...
Oh, and BTW, there's more than one Atmos format (or perhaps, sub-format). And typically, the Atmos you get w/ streaming is a lossy variant and not the same as the lossless format provided on physical media. There's also other twists/variations like what Apple does w/ their ATV4K's output (that...
All the devices in the chain need to *support* Atmos... so that the data stream gets passed properly. The actual decoding (and conversion to analog) only needs to happen in one device, eg. the AVR for most people.
Having said that, it shouldn't require much to simply pass the Atmos data, but...