What version of Premiere Elements, and what computer operating system involved?
Nonetheless, take the iTunes music into iTunes for conversion to the WAV version. Then import that WAV version into the Premiere Elements project using Premiere Elements Get Media or Add Media/Files and Folders. Typically iTunes music poses the problem that you described, and the classical solution is the iTunes conversion of the music to the WAV version.
If you need any help with the procedure, I will help you with that.
Any questions or need clarification, please do not hesitate to ask.
Thank you your advice worked perfectly. I can now save my holiday photos with back-ground music from local South African singers.
Thanks once again