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Using Visual Studio 2005

 1. Goto Project Properties > Select Web Tab

2. Click “Use IIS Web Server” radio button

3. Click on “Create Virtual Directory” button

4. Open Web.config and change debug to true  <compilation debug=”true”>

5. Open IIS (Start > Run > Inetmgr)

6. Goto that your project Virtual Directory

7. Right click > Select Properties

8. Under Virutal Directory Tab, make sure it has Application Name.  If its blank, click on Remove button next to it and click Create.

9. Under ASP.Net tab make sure Asp.net Version is 2.0 or whatever you need

10. Under Directory Security tab click EDIT

11. Make sure Anonymous and Integrated Windows authentication is enabled.
If these steps are not followed

you may not be able to debug you application using Visual Studio,

you may not be able to use IIS web server or its features.