This config works in v.8.2--
RSS data source webpart:
Web part control ID: RSSDataSource_med
RSS feed URL: http://rss.medicalnewstoday.com/seniors-aging.xml
Top N: 10
(all other settings are default)
Basic repeater webpart:
Data source name: RSSDataSource_med
Transformation name: CMS.RSSTransformations.rss_dev01_med
No record found text: No data found - no med
(all other settings are default)
CMS.RSSTransformations.rss_dev01_med:
<p><a href="<%# Eval("link") %>"><%# Eval("title") %></a><br />
—<%# Eval("pubDate") %>—<%# Eval("guid") %></p>
Interestingly, it does not work with the Atom Data Source Webpart, though the feed points to the Atom namespace. I saw a similar error: Cannot add a nested relation or an element column to a table containing a SimpleContent column.
Hope that helps!