Timing problem

36149234400_a47f2f9206_o.gif -

This looks right. My number 1 is there where it supposed to be when set at 0° This is correct.

35710795974_c79956d5e4_z.jpg by --
This is where my vacuum advance is.......at 0°. When I have the car at tdc my distributor looks like this. Exactly.

However.......in my case even though it all looks right.
When it is all in this poisiton it is backfiring out the intake. I have to turn the distributor advance canister all the way to cylinder 8 in the picture to get the car to even run. .

That's why I'm so confused