So, you have strictly followed the appropriate chapter " When using the S/PDIF output of your OSMC device for audio" in link https://discourse.osmc.tv/t/audio-hardware-and-software-configuration/82441 ?
Especially the last sentence to disable sync playback to display is important otherwise passthrough is not possible at all.
In case the problem persists playing AC3 through the optical cable we need more information from you. The best way to get this information is for you to upload logs that demonstrate your problem. You can learn more about how to submit a useful support request here.
Depending on the used skin you have to set the settings-level to standard or higher, in summary:
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enable debug logging at settings->system->logging
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reboot the OSMC device twice(!)
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reproduce the issue
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upload the log set (all configs and logs!) either using the
Log Uploadermethod within the My OSMC menu in the GUI or thesshmethod invoking commandgrab-logs -A -
publish the provided URL from the log set upload, here
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please, also tell us the exact brands and models of your AVR/TV combination
Thanks for your understanding.
OSMC skin screenshot:
