I have an internal report on my web application which when I browse to it locally displays as expected. I am using a rdlc and xsd with a standard <
rdlc
xsd
Experienced the same issue, that has occured after upgrading of Visual Studio and Sql Server instances.
Problem has gone after reinstallation of SQLSysClrtypes.msi and ReportViewer.msi packages, that can be downloaded here
Hope it could help someone.