How does he know toslink is the problem? It could be something else. I would have him try all the toslink connections on the Rotel first, if he hasn't already done so. You also need to list the complete system.
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You also need to list the complete system.
How the heck would listing the complete system help in this situation? He asked sarcastically.
Here's my suggestion if the dac truly is at fault: used on ebay.
No idea who the seller is but probably cheaper than repair.