You didn't connect the AVCC and ground on pins 20 and 22. They should be connected even if you aren't using any of the analog stuff.
To clarify:
Connect Pin 7 and 20 both to your VCC line
Connect Pin 8 and 22 both to your GND line
Hey thanks guys I have got it to recognized the chip and I am trying to program it to blink a led. Again I say thanks