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Tony, there should be an indicator light on the receiver's front panel that indicates if it's receiving and outputting a DD or DTS 5.1 signal.

Yes.

Yet even without knowing the model of receiver, I just bet Tony has not enabled the Bitstream (or Dolby Digital/DTS) output in his DVD player's audio-setup menu. This almost always is the cause of a newcomer's inability to get DD or DTS 5.1 on first try.