If it is telling you that you need to upgrade to Turbotax Deluxe it is because the information you are filing with requires the long form which is not offered on the Federal Free Edition.
TurboTax Federal Free Edition is intended for simple returns – 1040-EZ or 1040-A with the standard deduction.
If you earned wages or interest in 2016 and have few or no deductions, TurboTax Free Edition is your best choice.
Please note that TurboTax Federal Free Edition is not available as a CD or download; it is exclusively available online.