You can't use Image.FromStream for your file, instead you must decode the file using TiffBitmapDecoder. Sample code from MSDN:
Stream imageStreamSource = new FileStream("tulipfarm.tif", FileMode.Open, FileAccess.Read, FileShare.Read);
TiffBitmapDecoder decoder = new TiffBitmapDecoder(imageStreamSource, BitmapCreateOptions.PreservePixelFormat, BitmapCacheOption.Default);
BitmapSource bitmapSource = decoder.Frames[0];
Image myImage = new Image();
myImage.Source = bitmapSource;
myImage.Stretch = Stretch.None;
myImage.Margin = new Thickness(20);