I think that bug is an inherited Win7 bug. I've twice(?) had the Recycle bin disappear irrecoverably from my desktop (while the rest of my desktop icons were fine) - and I reviewed the same checkboxes you did.

I think I had to use a [s]regex[/s] [color=#a52a2a]regedit/registry fix to get it back.

I've more than twice had to use a [s]regex[/s] registry fix to get my taskbar volume icon to reappear in Windows 7 - that one is exceptionally annoying.

I think you may be right Servant. I hardly ever actually have anything on my desktop except for maybe one or two quick shortcuts, plus the recycle bin, so I don't think I've encountered it before. Though during my Google Search I did see some people that had it happen in Windows 7 and Windows 8 though a solution was never posted.