The problem is that the web application is unable to carry forth your security context to the RS Web service. If you are browsing from the machine where the web service resides, your context is available. If you browse from any other machine, it will not be available.
You can fix this issue by setting up the web service machine so that it trusts the web application machine for "delegation" which means that it can pass your security credentials across machine boundaries.
Todd Bryant
MCSD,MCDBA,MCSE,MCT
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