Well here are a few more things. I tried turning off the sounds in WMC and that didn't work, It seems as thought it is a handshake issue with HDMI. Right before I started to type this post, I was not getting any audio from anything on my cpu, not from WMC, youtube, cnn, etc, My AVR was not showing the customer L R sound indicators on the screen letting me it can produce sound. Then I came to this page and my mouse went over one of the advertisements and this page and all of a sudden my sound came back. It was working on youtube vidoes, cnn etc, however it still is not working on WMC. As a matter of fact, i just went in to WMC to test it again and immediately, my LR light went off and now that I am back to this sight, when I go over the same advertisment, no sound.
I will say this though. I am no longer getting the video error. I am acutally getting the picture now for both live, MKV or recorded TV, I am however not getting sound.