High end CD player paired with High end processor

I just demo'd a Krell HTS 7.1. Very nice 2ch audio. I was using a very low end cd player at the time. Would adding a Krell CD player of that same level (KAV300CD) be an over kill?

Would I hear the difference?

The rest of the set is: Aragon 8008 MkII, ML SL3's.

I am new to how good better equipment sounds. So forgive the dumb questions. Working off a limited budget and don't want to spend money on a piece of equipment I wont be able to tell the difference with.

also, using balanced connects between the HTS and the amp.

entry level coax cable (digital out) from the cd player to the HTS.

It is hard to tell what any given person will hear for it depends on their ear, their room and many other factors. But when I had an Aragon 8008BB, I could hear differences in CD players quite easily. Players have come a long way so even cheap ones can be very good. That said with better players and DAC's one can expect to usually hear a less digital sound meaning a smoother, more natural sound, with even better detail and dynamics both micro and macro. This is because of less jitter and a blacker (quieter) background. Recordings by different methods and in different venues sound more distinct from each other than with a generic player. For me these type sonic enhancements are definitely worth it. Best way to tell is to audition a higher end player in your own home and make up your own mind.
I too had Aragon amps and could quite easily hear the difference good CD players made in the overall sound quality. I would still be cautious in your case and buy a CD player whose DAC you like and not go crazy spending. If you can get a lightly used, well liked, high end player that is towards the entry level of that brand -try it out.
I think you guys are missing the point the OP is outputting the digital conversion to the Krell processor in which case he would really just be using the 300cd as a transport? Pretty sure that was the question, I would say if you just need a transport save money and pic up a used Rega or something like it.
The Krell 300CD is an astounding transport, it has a TEAC mechanism. one of the best transports I have heard.
thanks everyone. I was really trying to determine if paying three times as much for the Krell HTS was worth it vs the Krell Showcase.

And to determine if I could get the same sound using my Aragon preamp 28K MkII and a high end cd player.