Okay, first you'll have to understand the difference between decoding and passthrough. When the player (the laptop, PC, DVD-player) does the decoding it unpacks the digital DTS/DD stream and converts it to analog 5.1 format. Then it will be transferred via 6 analog cables to the amplifier where the signals will be amplified and then played by the speakers. If the player just passes the stream through in a digital format it will go in one digital optical/electrical cable to the receiver where it is decoded to 5.1 different signals wich are then amplified.
So what I believe is that your laptop can pass-through the digital signal, but it cant decode it, well not in multichannel anyway. That would require 5.1 analog out (3x stereo minijack).
What you want to do is to plug the minijack -> RCA cable from the laptops digital minijack to the receivers digital coaxial input RCA. That way you will get the digital stream (apparently from DVDs) from your laptop to your receiver, and then listen to it through your speakers.
From the headphone jack you can get stereo sound in analog (amplified) format, which is useless with your receiver. The digital out will do the same better and more.
My question is from a mini jack converter to RCA its ushally converts to a black and red output
Which one would i use to connect to the COaxial In on my reciever, Or do i need another type of wire converter.