Q: iTunes has problem as it stated "The folder "iTunes" cannot be found or created and is required.

Back up all data before proceeding.

This procedure will unlock all your user files (not system files) and reset their ownership, permissions, and access controls to the default. If you've intentionally set special values for those attributes on any of your files, they will be reverted. In that case, either stop here, or be prepared to recreate the settings if necessary. Do so only after verifying that those settings didn't cause the problem. If none of this is meaningful to you, you don't need to worry about it, but you do need to follow the instructions below.

Step 1

If you have more than one user, and the one in question is not an administrator, then go to Step 2.

Triple-click anywhere in the following line on this page to select it:

sudo find ~ $TMPDIR.. -exec chflags -h nouchg,nouappnd,noschg,nosappnd {} + -exec chown -h $UID {} + -exec chmod +rw {} + -exec chmod -h -N {} + -type d -exec chmod -h +x {} + 2>&-

Copy the selected text to the Clipboard by pressing the key combination command-C.

Launch the built-in Terminal application in any of the following ways:

☞ Enter the first few letters of its name into a Spotlight search. Select it in the results (it should be at the top.)

☞ In the Finder, select Go ▹ Utilities from the menu bar, or press the key combination shift-command-U. The application is in the folder that opens.

☞ Open LaunchPad and start typing the name.

Paste into the Terminal window by pressing command-V. I've tested these instructions only with the Safari web browser. If you use another browser, you may have to press the return key after pasting.

You'll be prompted for your login password, which won't be displayed when you type it. Type carefully and then press return. You may get a one-time warning to be careful. If you don’t have a login password, you’ll need to set one before you can run the command. If you see a message that your username "is not in the sudoers file," then you're not logged in as an administrator.

The command may take several minutes to run, depending on how many files you have. Wait for a new line ending in a dollar sign ($) to appear, then quit Terminal.

Step 2 (optional)

Take this step only if you have trouble with Step 1, if you prefer not to take it, or if it doesn't solve the problem.

Start up in Recovery mode. When the OS X Utilities screen appears, select

          Utilities ▹ Terminal

from the menu bar. A Terminal window will open. In that window, type this:

resetp

Press the tab key. The partial command you typed will automatically be completed to this:

resetpassword

Press return. A Reset Password window will open. You’re not going to reset a password.

Select your startup volume ("Macintosh HD," unless you gave it a different name) if not already selected.

Select your username from the menu labeled Select the user account if not already selected.

Under Reset Home Directory Permissions and ACLs, click the Reset button.

Select

           ▹ Restart

from the menu bar.

For starters, do you have a folder "iTunes" in your Music directory?  Does the iTunes folder contain a file called "iTunes Library.itl"?  That is the first file of many iTunes needs to create your library each time it starts.  If those are gone for some reason then access permissions correction will not help because there is nothing for the command to correct. In fact usually if the access permission is wrong on the file or folder iTunes will specifically state this in the error message.

Now for full disclosure, you haven't moved or relocated your library at some stage in the past?