OK, so back to the original issue I had with 1080p pass-through.
The TV firmware did sort of fix the issue.
After upgrading the firmware I could get 1080p to display on the TV, but with some caveats. I had to go through HDMI port 2, no biggie. I had to set the input to Computer, kind of an issue.
Setting the input to computer has a few issues. One, the amount of adjustments to the picture a fairly limited. You get a really bright picture and no control over the color settings. Two, the receiver won't work through this configuration. Three, direct connection of the PS3 to HDMI 2 gives an annoying message for about five minutes.
So while I can technically get 1080p it's not the TV, it's not really worth it in the end.
As I understand the way the Mits displays the picture, everything gets pushed up to 1080p for display. Plus the 1080p input goes through some form of up/down converting. The way I understand it is 1080p in gets down converted to 1080i then up converted back to 1080p.
So end result, I'm keeping everything as it started out connection wise. I did get the TV updated and I learned something in the process, so it wasn't a total loss