Here I have listed Microsoft recommended Guest OS which are supported by Hyper-V. Guest OS is the OS which is installed on the VM (Virtual Machine) Created using Microsoft Server 2008 Hyper-V.
The following guest operating systems are supported on Hyper-V:
Windows Server 2008 x64 (VM configured with 1-, 2-, or 4 virtual processors SMP)
The following guest operating systems are supported on Hyper-V:
Windows Server 2008 x64 (VM configured with 1-, 2-, or 4 virtual processors SMP)
- Windows Server 2008 Standard/Enterprise/Datacenter x64
- Windows Web Server 2008 x64
- Windows Server 2008 Standard/Enterprise/Datacenter without Hyper-V x64
Windows Server 2008 x86 (VM configured with 1-, 2-, or 4 virtual processors SMP)
- Windows Server 2008 Standard/Enterprise/Datacenter x86
- Windows Web Server 2008 x86
- Windows Server 2008 Standard/Enterprise/Datacenter without Hyper-V x86
Windows Server 2003 x86 (VMs configured with 1- or 2 virtual processors SMP only)
- Windows Server 2003 Standard/Enterprise/Datacenter x86 Edition with Service Pack 2
- Windows Server 2003 Web x86 Edition with Service Pack 2
Windows Server 2003 x64 (VMs configured with 1- or 2- virtual processors only)
- Windows Server 2003 Standard/Enterprise/Datacenter x64 Edition with Service Pack 2
Windows Server 2000 (VMs configured with 1- virtual processors)
- Windows 2000 Server with Service Pack 4
- Windows 2000 Advanced Server with Service Pack 4
Other Operating Systems (VMs configured with 1- or 2- or 4-virtual processors only)
- Windows HPC Server 2008
Linux Distributions (VMs configured with 1 virtual processor only)
- SUSE Linux Enterprise Server 10 with Service Pack 2 x86/x64 Edition
- SUSE Linux Enterprise Server 10 with Service Pack 1 x86/x64 Edition
Apart from these OS I was able to install and configure other guest OS License CentOS, Fedora, Ubuntu/Debian Successfully. So, above listed OS are the recommended OS from Microsoft but you can install any guest OS on a VM without any problem.