A: 

If you right click your project and go to Properties theres a Publish tab, that allows you to specify prerequisite installs for your application.

Presumably you can supply a path to the IronPython install executable here.

Eoin Campbell
But I shouldn't have to install it right? Just push down the 3 assemblies needed right? IronPython.dll, Microsoft.Scripting.dll, Microsoft.Scripting.Code.dll - But how can I tell if these 3 assemblies need 3.0 or 3.5 to run properly?
tyndall
You also need Microsoft.Scripting.ExtensionAttribute.dll, and you probably want IronPython.Modules.dll. You absolutely don't need to install and you don't need .NET 30 or 3.5, but you do need SP1 of .NET 2.0.(If you have 3.5 installed, then you automatically have 2.0 SP1.)
Curt Hagenlocher
+3  A: 

IronPython requiers .NET 2.0SP1 or later to run. This exception is happening due to an overload that was added in SP1.

Dino Viehland