dust cover, 340/727

Yes it goes between the starter and bellhousing. The ones with a hole for the starter are for a small block and the ones with no hole and flat across the top are for a big block. Also note that the bolt holes are totally different between them and you can't interchange them.

Not sure on what to tell you on bolting the starter right to the trans. Haven't tried that. The cover takes up a small amount of space so it might set the starter too deep and cause problems but that's just a guess.