Similar thing happened to me a few days ago. Opened TT and it said an update was available. The update installation failed with error 1603. I tried it again a few times, not that I expected that to work, and not only did it fail each time, but then I couldn't even open the TT program at all.
I googled "turbotax manual update desktop" and it took me to a TT page where I downloaded a file. That installed properly and all seems well. But there were caveats on the download page saying that only the federal would be updated. Judging by the size of the update file and the date stamps on all the files that ended up on my computer, it almost looked like a completely new install.
In retrospect, I probably should have done the obvious first - uninstall TT and reinstall.
I have no idea what the problem is/was. I do use my computer for code development and have a lot of Microsoft .NET and VC Distributable installs and my guess is that there was some version number conflict that TT didn't like.
