diff --git a/packages/compiler/src/frontend/decl-projection.ts b/packages/compiler/src/frontend/decl-projection.ts
index 31d32834e..f2340e984 100644
--- a/packages/compiler/src/frontend/decl-projection.ts
+++ b/packages/compiler/src/frontend/decl-projection.ts
@@ -99,6 +99,70 @@ function declaredInPackage(symbol: ts.Symbol | undefined): boolean {
   return symbol.declarations.some((d) => isPackageDeclarationFile(ts.getSourceFileOfNode(d)));
 }
 
+/** The parts of a call signature's declaration that pass-through detection
+ * reads, for the declaration kinds a resolved call signature has. */
+function signatureParts(node: ts.Node | undefined): {
+  typeParameters: readonly ts.TypeParameterDeclaration[];
+  parameters: readonly ts.ParameterDeclaration[];
+  type: ts.TypeNode | undefined;
+} | null {
+  if (node === undefined) return null;
+  if (ts.isFunctionTypeNode(node))
+    return {
+      typeParameters: node.typeParameters?.nodes ?? [],
+      parameters: node.parameters.nodes,
+      type: node.type,
+    };
+  if (ts.isFunctionDeclaration(node))
+    return {
+      typeParameters: node.typeParameters?.nodes ?? [],
+      parameters: node.parameters.nodes,
+      type: node.type,
+    };
+  if (ts.isMethodDeclaration(node))
+    return {
+      typeParameters: node.typeParameters?.nodes ?? [],
+      parameters: node.parameters.nodes,
+      type: node.type,
+    };
+  if (ts.isMethodSignatureDeclaration(node))
+    return {
+      typeParameters: node.typeParameters?.nodes ?? [],
+      parameters: node.parameters.nodes,
+      type: node.type,
+    };
+  if (ts.isCallSignatureDeclaration(node))
+    return {
+      typeParameters: node.typeParameters?.nodes ?? [],
+      parameters: node.parameters.nodes,
+      type: node.type,
+    };
+  return null;
+}
+
+/** A signature that returns one of its own type parameters which also types
+ * a parameter (`<T extends object>(obj: T) => T`) hands back the argument
+ * or something standing in for it, a proxy or a marked object, whose
+ * identity the package may track (Effect's `Equal.byReference`). Its result
+ * type comes from the caller's argument, not from data the package
+ * declares, so the boundary leaves it alone: converting it would build a
+ * separate native value. */
+function passesArgumentThrough(declaration: ts.Node | undefined): boolean {
+  const sig = signatureParts(declaration);
+  if (sig === null || sig.type === undefined || !ts.isTypeReferenceNode(sig.type)) return false;
+  const ret = sig.type;
+  if (!ts.isIdentifier(ret.typeName) || ret.typeArguments !== undefined) return false;
+  const name = ret.typeName.text;
+  if (!sig.typeParameters.some((tp) => tp.name.text === name)) return false;
+  return sig.parameters.some(
+    (param) =>
+      param.type !== undefined &&
+      ts.isTypeReferenceNode(param.type) &&
+      ts.isIdentifier(param.type.typeName) &&
+      param.type.typeName.text === name,
+  );
+}
+
 function declaredInUserFile(symbol: ts.Symbol | undefined): boolean {
   if (symbol === undefined) return false;
   const decls = symbol.declarations;
@@ -511,16 +575,16 @@ export function planDeclProjection(input: DeclProjectionInput): DeclProjection |
       if (ts.isCallExpression(d) || ts.isNewExpression(d)) {
         const callee = d.expression;
         const target = ts.isPropertyAccessExpression(callee) ? callee.name : callee;
-        produced = declaredInPackage(declSymbol(target));
-        if (!produced) {
-          try {
-            const sig = declChecker.getResolvedSignature(d);
-            const decl = sig?.declaration;
-            produced = decl !== undefined && isPackageDeclarationFile(ts.getSourceFileOfNode(decl));
-          } catch {
-            produced = false;
-          }
+        let decl: ts.Node | undefined;
+        try {
+          decl = declChecker.getResolvedSignature(d)?.declaration;
+        } catch {
+          decl = undefined;
         }
+        produced =
+          (declaredInPackage(declSymbol(target)) ||
+            (decl !== undefined && isPackageDeclarationFile(ts.getSourceFileOfNode(decl)))) &&
+          !passesArgumentThrough(decl);
       } else if (ts.isTaggedTemplateExpression(d)) {
         produced = declaredInPackage(declSymbol(d.tag));
       } else if (ts.isPropertyAccessExpression(d) || ts.isElementAccessExpression(d)) {
diff --git a/packages/compiler/test/ts7/baselines/order-parity/tests/fixtures/npm/cases/decl-pass-through/main.ts.json b/packages/compiler/test/ts7/baselines/order-parity/tests/fixtures/npm/cases/decl-pass-through/main.ts.json
new file mode 100644
index 000000000..1fd5083da
--- /dev/null
+++ b/packages/compiler/test/ts7/baselines/order-parity/tests/fixtures/npm/cases/decl-pass-through/main.ts.json
@@ -0,0 +1,6 @@
+{
+ "order": [
+  "<repo>/tests/fixtures/npm/cases/decl-pass-through/main.ts"
+ ],
+ "diags": []
+}
diff --git a/tests/fixtures/npm/cases/decl-pass-through/main.ts b/tests/fixtures/npm/cases/decl-pass-through/main.ts
new file mode 100644
index 000000000..a8168edc4
--- /dev/null
+++ b/tests/fixtures/npm/cases/decl-pass-through/main.ts
@@ -0,0 +1,16 @@
+// Package functions declared to return their argument's own type
+// (`<T extends object>(obj: T) => T`) hand back the argument, or a proxy
+// standing in for it, and the package tracks that object's identity: those
+// results stay the package's objects. Reads of data the declarations
+// describe (`point(): Point`) are still typed.
+import { byReference, equals, mark, point } from "ref-marks";
+
+const a = byReference({ n: 42 });
+const b = byReference({ n: 42 });
+console.log(equals(a, a), equals(a, b), a.n + b.n);
+const m = mark({ n: 1 });
+const m2 = mark({ n: 1 });
+console.log(equals(m, m), equals(m, m2));
+const p = point(1, 2);
+const q = point(1, 2);
+console.log(equals(p, q), p.x + q.y);
diff --git a/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/lib/index.d.ts b/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/lib/index.d.ts
new file mode 100644
index 000000000..aa0df42f4
--- /dev/null
+++ b/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/lib/index.d.ts
@@ -0,0 +1,8 @@
+export interface Point {
+    x: number;
+    y: number;
+}
+export declare function byReference<T extends object>(obj: T): T;
+export declare const mark: <T extends object>(obj: T) => T;
+export declare function equals(a: unknown, b: unknown): boolean;
+export declare function point(x: number, y: number): Point;
diff --git a/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/lib/index.js b/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/lib/index.js
new file mode 100644
index 000000000..796efb19b
--- /dev/null
+++ b/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/lib/index.js
@@ -0,0 +1,18 @@
+const marked = new WeakSet();
+export function byReference(obj) {
+  const proxy = new Proxy(obj, {});
+  marked.add(proxy);
+  return proxy;
+}
+export function mark(obj) {
+  marked.add(obj);
+  return obj;
+}
+export function equals(a, b) {
+  if (a === b) return true;
+  if (marked.has(a) || marked.has(b)) return false;
+  return JSON.stringify(a) === JSON.stringify(b);
+}
+export function point(x, y) {
+  return { x, y };
+}
diff --git a/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/package.json b/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/package.json
new file mode 100644
index 000000000..5ae95f315
--- /dev/null
+++ b/tests/fixtures/npm/cases/decl-pass-through/node_modules/ref-marks/package.json
@@ -0,0 +1 @@
+{ "name": "ref-marks", "version": "1.0.0", "type": "module", "main": "./lib/index.js", "types": "./lib/index.d.ts" }
diff --git a/tests/fixtures/npm/cases/decl-pass-through/package.json b/tests/fixtures/npm/cases/decl-pass-through/package.json
new file mode 100644
index 000000000..4895e9aec
--- /dev/null
+++ b/tests/fixtures/npm/cases/decl-pass-through/package.json
@@ -0,0 +1 @@
+{ "name": "decl-pass-through-case", "private": true, "type": "module" }
diff --git a/tests/harness/coverage.test.ts b/tests/harness/coverage.test.ts
index 3ed562aea..e1831c609 100644
--- a/tests/harness/coverage.test.ts
+++ b/tests/harness/coverage.test.ts
@@ -561,13 +561,14 @@ test("types only a package's .d.ts declares stay static through re-exports and .
   // shape-kinds re-exports types its .d.ts entry imports; row-module's
   // runtime entry is an .mjs file. Without their declared types the
   // program's uses of Form, Kind and Row run in the dynamic tier (12
-  // statements); with them only the packages' own JavaScript and one
-  // arithmetic on a JavaScript return value do (4).
+  // statements); with them only the packages' own JavaScript does (3).
+  // readRows's result keeps its declared number type, so `count - 1` is
+  // native arithmetic too.
   const { coverage } = analyze(
     join(repoRoot, "tests/corpus/7004-package-declared-type-reexports/main.ts"),
   );
   expect(coverage.diagnostics).toEqual([]);
-  expect(coverage.stats.statementsDynamic).toBe(4);
+  expect(coverage.stats.statementsDynamic).toBe(3);
 });
 
 test("any-typed checked-dynamic operators compile natively", () => {