I normally set the configs in the *.inc, just a personal pref I guess.

I do not have a 8722 so I can not test it, But this compiles.
Code:
DEFINE	OSC  10

TRISB = 0
TRISH = 0
porth = 0

Start:
porth.0 = 1
pause 500
porth.0 = 0
pause 1000
goto start
And this is the *.inc
Code:
LIST p = 18F8722, r = dec, w = -311, w = -230, f = inhx32
        INCLUDE "P18F8722.INC"	; MPASM  Header
        __CONFIG    _CONFIG1H, _OSC_HS_1H
        __CONFIG    _CONFIG2H, _WDT_ON_2H & _WDTPS_512_2H
        __CONFIG    _CONFIG4L, _LVP_OFF_4L & _XINST_OFF_4L
        NOLIST
And yes, if you set the fuses in code space, the *.inc needs to be REMed.