It's really easy. These are generic instructions for any domain transfer:
Turn the transfer lock off @ dynadot
Head over to GoDaddy and initiate the transfer (when you search for the domain it will show up available as you have enabled it for transfer)
GoDaddy sends you an email with two codes in it. Dynadot provides you with an EPP code, that they call an "authorization code"
You put all these codes into GoDaddy... and wait.
Two things to remember:
Transfer the name servers to GoDaddy, or you won't be able to change the DNS records. When the transfer takes place, all the DNS records are lost. So if this an active website, it will suddenly go down, and you'll have to re-enter the DNS information.
Select "My Domains" from the left-side menu bar and click "Manage Domains" in the drop-down.
Click on the domain name you want to transfer (it should be a link).
Scroll down to the "Authorization Code" section.
If your domain is transfer locked, press "Unlock Account" to unlock your account first.
Once your account is unlocked, press the "Unlock" button to unlock your domain.
The auth code which is a unique string of random letters and numbers will now be displayed in the "Authorization Code" section.
You can also press the "New Code" button to generate a new authorization code.
NOTE: Your domain needs to remain unlocked during the transfer process; however, we recommend locking your accountto ensure its security. Our system will automatically re-lock it within 1 hour for you, but it's always a good idea to re-lock it as soon as you don't need it to be unlocked.