Hi antrax,
Are you using a *.sub file?
Or an *.srt file?
You can only use *.sub files to use with winsubmux.
These are bitmap pictures of our subtitles.
On the other hand *.srt files are plain text files.
To have selectable subs you use winsubmux to mux those bitmap pictures into the MPEG file just as we do with the audio or video.
BTW are you sure you want to use selectable subs?
I'm assuming you're using KSVCD right?
Maybe you would be better off with hardencoded subs using Gabest VSFilter in your Avisynth script.
If you need help on hardencoded subs just honk
Cheers