Hmmm.... why would you need a Windows 7 VM?
Just tried installing latest iTunes 12.7.2, 64bit on my Win10 bootcamp. I am running latest version 1709 for Windows 10 with most current patches (double checked in Windows update to make sure about that)
I have Apple Software Update app on the system, which came from the Boot Camp install, but had never installed iTunes until now. I did not use the Apple update app for that, but downloaded the iTunes installer app.
Installed easily, within a couple of minutes. Just like you would expect.
Did you try installing iTunes through the Apple Software update app? That would be an alternative. I don't know if it would make a difference. Also, have you tried the troubleshooter in Windows settings, in the Windows Update window? That can adjust compatibility settings for apps running in Windows, and maybe would be helpful to get your Windows system running properly.