IIS10 Compression not working when set through Web.config of project

Question

I have a WCF service hosted on IIS10 server. IIS10 Compression not working when set through Web.config of project . But Works when set through applicationHost.config. i want to compress json data. Here im talking about dynamic compression.

Here is my projects' Web.config's compression part(whatsoever i do can't get iis honour these mime types):

<httpCompression directory="%SystemDrive%\inetpub\temp\IIS Temporary Compressed Files">
  <scheme name="gzip" dll="%Windir%\system32\inetsrv\gzip.dll" staticCompressionLevel="9" />
  <dynamicTypes>
    <add mimeType="text/*" enabled="true" />
    <add mimeType="message/*" enabled="true" />
    <add mimeType="application/x-javascript" enabled="true" />
    <add mimeType="application/json" enabled="true" />
    <add mimeType="application/json; charset=utf-8" enabled="true" />
    <add mimeType="*/*" enabled="false" />
  </dynamicTypes>
  <staticTypes>
    <add mimeType="text/*" enabled="true" />
    <add mimeType="message/*" enabled="true" />
    <add mimeType="application/x-javascript" enabled="true" />
    <add mimeType="application/atom+xml" enabled="true" />
    <add mimeType="application/xaml+xml" enabled="true" />
    <add mimeType="*/*" enabled="false" />
  </staticTypes>
</httpCompression>

And here's my applicationHost.config(only setting mime type here works)

<httpCompression directory="%SystemDrive%\inetpub\temp\IIS Temporary Compressed Files" minFileSizeForComp="1000">
        <scheme name="gzip" dll="%Windir%\system32\inetsrv\gzip.dll" />
        <staticTypes>
            <add mimeType="text/*" enabled="true" />
            <add mimeType="message/*" enabled="true" />
            <add mimeType="application/javascript" enabled="true" />
            <add mimeType="application/atom+xml" enabled="true" />
            <add mimeType="application/xaml+xml" enabled="true" />
            <add mimeType="image/svg+xml" enabled="true" />
            <add mimeType="*/*" enabled="false" />
        </staticTypes>
        <dynamicTypes>
            <add mimeType="text/*" enabled="true" />
            <add mimeType="message/*" enabled="true" />
            <add mimeType="application/x-javascript" enabled="true" />
            <add mimeType="application/javascript" enabled="true" />
            <add mimeType="application/json" enabled="true" />
            <add mimeType="application/json; charset=utf-8" enabled="true" />
            <add mimeType="*/*" enabled="false" />
        </dynamicTypes>
    </httpCompression>

please tell me if there's any understanding deficit on my side. I would like to know how compression setting at project level works.

thanks