DVD DTS audio track to iTunes library

Over in the iTunes for Windows community, I added this issue to a similar question posed there.

Before I explain my challenge, I want to address some other postings that I came across in my search for an answer. I noticed in a now-locked discussion that someone wrote that iTunes does not support DTS. This is incorrect. iTunes handles DTS files quite well, and many of us have many DTS sound files in our iTunes libraries, and play them either 1) through the optical port on our computers, or 2) through our Airport Expresses. Granted the optical output of those two routes must be connected to capable ports in a sound system that can detect and decode DTS data. It works. I have been enjoying it for more than a decade. And a note to the fellow who 'suspects' that Apple TV would also pass DTS – no it doesn't. That point is one of my significant complaints about the ATV – an inexplicable shortcoming, given that the Airport Express has long had the capability.

Now back to my current challenge. I have successfully extracted the DTS audio track from a concert DVD. How do I know I have been successful? VLC plays the file out the digital port of my MacPro into my sound system, which, in its display, identifies the encoding of the file. It is DTS, and sounds wonderful, naturally. How does one play the file to the digital port? In VLC, under the Audio menu, one finds, at the bottom, Audio Device, which leads to more choices. The only choice that will forward the pure DTS to the sound system is Built-in Digital Output (Encoded Output). VLC doesn't encode to DTS, it just doesn't decode by choosing this output device. So, what is the problem? iTunes will not accept nor import this file into its library. Obviously, there is more to the file than the song data and the file extension. I have tried the extensions that I have found on my existing DTS library entries (.wav and .aif). VLC seems to recognize the file for what it is regardless of the extension. Obviously, the file is somehow encapsulated, so I need to find a way to change the encapsulation to make it acceptable to iTunes. I've tried to have VLC export to .m4v, but that hasn't been successful.

I should add that this concert DVD came with a companion CD of the same concert. Unfortunately, the CD is standard stereo, and, yes, it is now in my iTunes library. However, it is much better to turn out the lights, sit back, and just listen to the music in full 5.1 surround without visual distractions. Be it the Police, the Moody Blues, Shania Twain (am I dating myself here?), or many others, DTS is... well, you should experience it for yourself!

I am looking for solutions / suggestions. Regards to all, Brian

I should add that I am quite willing to describe the process of extracting the sound track once I have the final steps resolved - getting the track into iTunes.