[c] C function that counts lines in file

You're opening a file, then passing the file pointer to a function that only wants a file name to open the file itself. You can simplify your call to;

void main(void)
{
  printf("LINES: %d\n",countlines("Test.txt"));
}

EDIT: You're changing the question around so it's very hard to answer; at first you got your change to main() wrong, you forgot that the first parameter is argc, so it crashed. Now you have the problem of;

if (fp == NULL);   // <-- note the extra semicolon that is the only thing 
                   //     that runs conditionally on the if 
  return 0;        // Always runs and returns 0

which will always return 0. Remove that extra semicolon, and you should get a reasonable count.