I have had this issue and tried just about everything including restoring and deleting backups but still got the same error.
After 8 hours or so i figures out a way to resolve this:
Device has to be connected to computer!!
1. On the iphone or ipod touch go to "settings>icloud> storage and backup" and turn on icloud backup and backup all of your data. You will see a message saying backups will not be made on your computer.. just press ok as you can change this in the future.
2. After you have successfuly created an icloud backup. select your device in itunes and press "Restore" and download the required software.
3. When finished downloading the updated software continue with restoring your device
(Optional) you can press create a backup just to be safe but is not needed as you already did so in icloud
4. When your device finishes restoring Itunes will ask to restore from a backup and in my case restore as new iphone IMPORTANT!!! DO NOT PRESS ANYTHING ON THE COMPUTER.. the rest of the process will be done on your device.
5. On your device go through the setup and configure the wifi if it available ""(WIFI REQUIRED FOR IPOD TOUCH)""
6. Continue the setup until you get to the icloud settings. You want to restore your device from icloud backup.
sign into icloud and you will see your device backup just select it and your device will begin to restore itself.
7. When the restore is complete go to itunes and try to sync your device. If the steps were done correctly you should now be able to sync you device
I haven't seen a fix like mine on the internet yet but if this works for you just remeber RED1994 discovered this 🙂