If shows 404 not found or 403 forbidden error on the browser when you have setup's the Wordpress permalinks on windows IIS web server, you have to check the web.config file.

Just Place or make sure that the following lines are base directory (web.config) of your WordPress installation to allow permalinks (or "pretty URLs") on Windows IIS.

web.config

<?xml version="1.0" encoding="UTF-8"?> 
<configuration> 
  <system.webServer> 
    <rewrite> 
      <rules> 
       <rule name="wordpress" stopProcessing="true"> 
          <match url=".*" /> 
          <conditions logicalGrouping="MatchAll"> 
            <add input="{REQUEST_FILENAME}" matchType="IsFile" negate="true" /> 
            <add input="{REQUEST_FILENAME}" matchType="IsDirectory" negate="true" /> 
          </conditions> 
          <action type="Rewrite" url="index.php" /> 
        </rule> 
      </rules> 
    </rewrite> 
     <defaultDocument> 
            <files> 
                <clear /> 
                <add value="index.php" /> 
                <add value="Default.htm" /> 
                <add value="Default.asp" /> 
                <add value="index.htm" /> 
                <add value="index.html" /> 
            </files> 
        </defaultDocument> 
       </system.webServer> 
</configuration>