The Best way to create a .ico is in Photoshop Extended (photoshop CC cannot).
set the color to RGB Color (only) and
set it to 8 bits/channel.
it will give you a message
click ok or yes.
4. Then save as
and in the Format dropdown choose, ICO,
then gives you a choice of Standard ICO and PNG,
I pick Standard ICO and click ok. you done.