I don't believe IIS7 supports GZIP requests, out of the box. Here's why. On my IIS7 machine, gzip.dll does not export decompression methods.
c:\Windows\System32\inetsrv>c:\vc9\bin\dumpbin.exe -exports gzip.dll
Microsoft (R) COFF/PE Dumper Version 9.00.30729.01
Copyright (C) Microsoft Corporation. All rights reserved.
Dump of file gzip.dll
File Type: DLL
Section contains the following exports for gzip.dll
00000000 characteristics
47919400 time date stamp Sat Jan 19 01:09:04 2008
0.00 version
1 ordinal base
6 number of functions
6 number of names
ordinal hint RVA name
1 0 0000242D Compress
2 1 00002E13 CreateCompression
3 2 000065AE DeInitCompression
4 3 000012EE DestroyCompression
5 4 0000658D InitCompression
6 5 000065B6 ResetCompression
Summary
1000 .data
1000 .reloc
1000 .rsrc
6000 .text
I think this represents a change in gzip.dll. I believe in prior versions of gzip.dll, there were 12 exported methods, including 6 that did Decompression.