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Cheap DAC's like this one are probably fine for TV. It has coaxial and optical input.

View attachment 2719957
That is exactly what I did and it worked perfectly. In fact, I did get a "better" one eventually, but only because people said it was on par with the Schiit, plus, it had a remote. i.e. It gave me remote volume control. That is something you usually lose with a TV when you use the external audio out.

This is the "better" one I bought. It was $99 when I got it. It's $139 now. https://www.amazon.com/gp/product/B07J9JP5SH/ref=ppx_yo_dt_b_search_asin_title
 
The receiver is a Sony STR-DE335
Back when that receiver was new, it was common for them to have stereo audio inputs and then convert it to 5.1. I had the Technics equivalent and ran a Laserdisk player into it. It sounded great.Now you can just run the TV sound into the DAC, and run the stereo RCA from it to your receiver and still get the 5.1 surround signal, if there is one.
 
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