I use TVpaint 3.59 all the time under WinUAE at work, due to the fact our I.T. department's idea of professional image editing software is M$ Paint :-x
Do you get the error while installing TVpaint or when loading an image?
If loading an image is a problem, try increasing the fast mem size.
If it's an install script problem, install it on a real Amiga first and copy the program directory over to WinUAE. Otherwise I can send you an LHA archive of my TVpaint install, it's now freeware.