When writing web applications, you often must grant permissions to an application to do something on other machines in a Windows domain or forest. IIS 6, 7 and 7.5 all allow you to configure IIS application pools to run under specific, rather secure identities like NETWORK SERVICE and the Application Pool Identity.
When accessing resources over the network using these identities, remember one simple rule: You must ensure to search computer accounts in Active Directory when granting access to a resource. We commonly add a computer account to an NTFS ACL to allow a web application to create directories on a remote machine. Computer accounts take the form of <DomainName><ComputerName>$ when accessing resources over the network and make sure you include the dollar sign ($) on the end of the computer name.
When locating the security principal (account) to add to the ACL, make sure you search computers in addition to the standard users, groups and built-in security principals. If you don’t do this you will pull your hair out trying to figure out why Active Directory can’t resolve your computer account name and let you assign permissions.
The following screen shots illustrate the bad and the good on Windows Server 2008 R2 for adding a security principal to a NTFS ACL.
This will drive you nuts because AD can’t resolve the computer account name. Why? Because you’re not searching computers…only users, groups and built-in security principals.
Mucho better when we add computers to the object types to search!
Now you’re in business!