#Next, I had added following rules to forward all http requests (coming to port 80) to the Squid server port 3128 :
#iptables -t nat -A PREROUTING -i eth1 -p tcp --dport 80 -j DNAT --to 192.168.1.1:3128
#iptables -t nat -A PREROUTING -i eth0 -p tcp --dport 80 -j REDIRECT --to-port 3128

#Access lists
acl all src all
acl manager proto cache_object
acl localhost src 127.0.0.1/32
acl to_localhost dst 127.0.0.0/8
acl safe_port port 80
acl localnet src 172.25.0.0/24
acl url_remove url_regex msn.com
http_access allow manager localhost
http_access deny manager
http_access deny !safe_port
http_access allow localhost
http_access deny url_remove
http_access allow localnet
http_access deny all
icp_access allow localhost
icp_access deny all

#Port that Squid is listening on
http_port 3128

#Caching section
cache_mem 8 MB
maximum_object_size 40 MB
cache_dir ufs /var/spool/squid 8000 16 256
cache_log /var/log/squid/cache.log
cache_effective_user proxy
cache_effective_group proxy
miss_access allow localnet
miss_access deny all
hierarchy_stoplist cgi-bin ?
access_log /var/log/squid/access.log 
refresh_pattern -i (/cgi-bin/|\?) 0 0% 0
refresh_pattern . 0 20% 4320
extension_methods REPORT MERGE MKACTIVITY CHECKOUT

#Misc files
hosts_file /etc/hosts
coredump_dir /var/spool/squid