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HTTP Error 401.2 - Unauthorized IIS 7.5

I am having an issue setting up my WCF REST service on my test server. All the following works locally. I am receiving a 401.2 Unauthorized error when trying to acces the site. Microsoft says the way to resolve this issue is to either a) make sure you have an authentication mode ENABLED or b) install an authentication module. Well, I have done both of those (Anonymous Authentication is enabled) and am still having the issue. What else could be the cause of the problem here? I have setup a failed trace log and all it does is tell me the exact same error when I try to navigate to the site. Any help / suggestions with resolving my 401.2 error would be greatly appreciated.
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