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"The activation system is not counting the number of computers...it is counting the number of separate activation requests which assumes that one activates one time on a single computer. Therein lies the problem."

 

Clearly that is the wrong assumption and does not match the instructions they provide with the CD that clearly states up to 5 machines, not 5 activations. What happens if I have to reinstall on the same machine because of a failure or a system crash ?

The situation in my case was even worse, it kept asking for activation on a machine that was already registered and activated.

Intuit TT support had to give me a new activation code to get out of the loop. After that I did not have this problem again, but I did not try a re-install yet to see what happens...