1.) Go To System->Preferences->Sound make sure all Sound playback are set to PulseAudio Sound Server. Make sure Default Mixer Tracks Device is set to your HDA NVidia (Alsa mixer)

2.) Right Click on the Speaker on the top right area of the bar and select Open Volume Control.

3.) Select HDA NVidia (Alsa mixer) for the Device

4.) Click on Playback tab then select Preferences check mark IEC958 switch. Close Preferences

5.) Click on Switches tab and checkmark IEC985

6.) add to /etc/modprobe.d/alsa-base.conf

# added for ALC889A sound card
options snd-hda-intel model=6stack-dig

7.) Install ubuntu-restricted-extras - installs almost all the codecs and java and flash 10.0.22.87 and a bunch of other stuff.

8.) Reboot... Actually with this Gigabyte board I sugest a Power Down.

9.) Now you should be able to open up Firefox and watch shows at hulu.com and youtube.com with digital audio.

10.) For Boxee make sure under Settings->Audio that Digital is selected and IEC985 is used for source. Enjoy!!