I have 2 cts 2010, one with nav display and one without and I had the issue as well. I had cdr with about 140 songs on each. I get in my non nav car and put the disc in and the 1st track starts playing and I hit rec and select record all. it starts doing its thing. I then jump in my nav car and do the same but when I hit rec it says unable to record while reading tracks. I wait a few min and hit rec again with same msg. I wait another 5-8 min and hit record and it works. 30 min later I check both cars and the nav car has all on the hdd and displays the song-artist info. I get in the non nav car and all are on the hdd but no info so I figure why didn't it make me wait like the nav car. So I delete all and put the disc back in and let it play for 10-12 minutes then hit rec and select all and voila when all completed all was on the hdd and it now shows all the song-artist info. Strange.
P.S. I know the manual mentions id tags but im not even sure what that means, all I know is mine were standard mp3 that I manually named with correct title-artist over the years and I had them copied on cdr when I had enough to fill 700mb cdr and those are discs I used to load and what I done above did work for me.
If you have a Windows based computer, right-click on the mp3 file and choose Properties. On the Details tab you'll find the ID tags. The key ones to input info into are Title, Artist, Album and # (track number). If you also specify a Genre you can sort/play music based on that. As mentioned previously there are other ways to input this info you have Apple or need to modify lots of files at once.
I use MP3Tag as well. It displays all files in the folder you select (or usb drive) and lets you edit them in a grid format. You can highlight several lines to update the properties on multiple files...same artist on multiple songs for example. It's really easy to use and it's available online as freeware. It does what FunkZ says...updates the properties without having to do each one individually.
Just to add a quick note....be careful when transferring large amounts of data (for a 2008, at least). I transferred approx 7GB of music from a USB drive that I grabbed off my PC. And it. Took. For....e.....ver. I suggest to do it in smaller, bit-sized chunks.
More to the topic.....if you have a large amount of files that need tagged, a media player like MediaMonkey can auto-tag songs via the internet (as long as there is some sort of info about the song somewhere...like the file name.) It'll snag some random and inaccurate info every now and again...but that's pretty rare. Makes tagging songs just a couple of clicks.