Did you download and update the software? Did you enter the license code when you did that? Are you opening the software program from your own hard drive and NOT going online and using a log in and user ID? You do not use a log in or user ID if you are using desktop software (except for that beginning part when you get your download). We have been seeing people who get confused and instead of using their desktop software they stray into online.
If you open up your desktop software just go up to the top left corner to the program to File and then click New Return to start on a new return. With desktop software you can prepare and e-file up to five federal returns.
Why can't you use the CD? Don't you have access to a full computer? Or no CD drive? You can download the program instead. We can help you install it.
Sorry you can't apply the Desktop purchase to the online version. They are separate things and don't talk or sync to each other and are priced differently. You would need to get a refund for the CD and pay for online separately. And state is a separate additional charge in online.