This feature is available in all editions.
What Happens When You Convert a Story to a Defect?
Converting a defect copies all common data from the story to the defect and deletes the original story.
All shared fields, tasks, tests, links, discussion notes, attachments and other relationships are moved to the new defect. Any fields that are not shared between stories and defects are lost.
Follow these steps to convert a story to a defect.
Go to Product > Backlog.
Select Convert To Defect from the Edit action menu.
If the new defect contains a field that does not exist in the original story, you will receive the following error message. See Why do I receive a "Type" error when converting from story to defect or defect to story? for instructions on how to fix it.