Error Occurred in Deployment step 'Recycle IIS Application Pool'

I tried all the possible solutions with Active Directory, IIS Authentication and finally was able to fix the issue just by doing the below. Hope this will help you in similar kind of issue.

1. Do a IIS reset
2. Check if IIS is resetting.
3. If it is not, then disable UAC from control panel and IIS reset will work.
4. Go to Central Administration site
5. Navigate to the Manage Web Applications page
6. Click on the web application that hosts the site you are trying to deploy to
7. Click the User Policy ribbon item.
8. Add your windows account to the list of users with the Full Control permission.

It worked for me!

Make sure you're a site collection admin

OFFTOPIC:

Even though the problem is solved for the original poster, I came here because I had the same issue, and these solutions (and more found in the internet) didn't help me. This being said...

On-topic:

I'll add the solution that worked for me (in order to avoid duplicates), because it may help someone else:

Deploy the solution to fully created site collection

In Visual Studio 2010-2012:

1. Right click the Solution you want to deploy (in the Solution explorer)
2. Go to Properties
3. Go to the "Site URL" attribute. If the Site's URL you want to deploy it is incomplete (i.e: the port you are working on is missing), change it.

This happened to me, since it was targeting http://webservice/ instead of http://webservice:123/

Source

The following worked for me:

• Open the Sharepoint SQL Server database in Management Studio. The default name of it is SHAREPOINTWEB.
• Under the Security folder, right click Logins and add the user who needs to deploy solutions. Grant them db_owner schema.