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i might possible be wrong but it looks like the bracket that goes on the side of your trans that your exhaust hanger goes through that bushing....i apologize if im wrong but i think thats it
dtws6 is correct, it mounts to the tailshaft. Its the bolts that hold the torque arm to the trans. You dont have to have the piece. Some people remove them, just depends if your exhaust is hitting the body.