diff --git a/graphify/extractors/engine.py b/graphify/extractors/engine.py
index 2b3433cfc..a31db8255 100644
--- a/graphify/extractors/engine.py
+++ b/graphify/extractors/engine.py
@@ -4101,6 +4101,44 @@ def _emit_java_parent_type(type_node, rel: str, at_line: int) -> None:
                 if config.ts_module == "tree_sitter_c_sharp" and parent_class_nid:
                     csharp_method_scopes[id(body)] = (node, parent_class_nid)
                 function_bodies.append((func_nid, body))
+                if config.ts_module in (
+                    "tree_sitter_javascript", "tree_sitter_typescript"
+                ):
+                    def _scan_js_nested_functions(parent_nid: str, container_node) -> None:
+                        if container_node is None:
+                            return
+                        for child in container_node.children:
+                            if child.type in (
+                                "function_declaration",
+                                "generator_function_declaration",
+                            ):
+                                name_node = child.child_by_field_name(config.name_field)
+                                if name_node is None:
+                                    for c in child.children:
+                                        if c.type in config.name_fallback_child_types:
+                                            name_node = c
+                                            break
+                                func_name = _read_text(name_node, source) if name_node else None
+                                if func_name and normalize_id(func_name):
+                                    line = child.start_point[0] + 1
+                                    nested_nid = _make_id(parent_nid, func_name)
+                                    add_node(nested_nid, f"{func_name}()", line)
+                                    add_edge(parent_nid, nested_nid, "contains", line)
+                                    callable_def_nids.add(nested_nid)
+                                    if local_bound_names is not None:
+                                        local_bound_names[nested_nid] = _js_local_bound_names(
+                                            child, source
+                                        )
+                                    nested_body = _find_body(child, config)
+                                    if nested_body:
+                                        function_bodies.append((nested_nid, nested_body))
+                                        _scan_js_nested_functions(nested_nid, nested_body)
+                            elif child.type in _JS_FUNCTION_VALUE_TYPES:
+                                continue
+                            else:
+                                _scan_js_nested_functions(parent_nid, child)
+
+                    _scan_js_nested_functions(func_nid, body)
                 if config.ts_module == "tree_sitter_kotlin":
                     # #2347: Kotlin anonymous objects (`object : Foo { … }`,
                     # node type `object_literal`). The function branch never
@@ -4508,7 +4546,7 @@ def _php_class_const_scope(n) -> str | None:
             return None
         return _read_text(scope, source)
 
-    _tracked_body_ids: set[int] = set()
+    _tracked_body_ids: set[object] = set()
     _JS_CLOSURE_TYPES = ("arrow_function", "function_expression")
     # #2575: nested NAMED functions get the same descent as closures. walk()
     # appends only the OUTER declaration's body to function_bodies and never
@@ -4538,7 +4576,7 @@ def walk_calls(
             if (config.ts_module in ("tree_sitter_javascript", "tree_sitter_typescript")
                     and node.type in _JS_DESCEND_TYPES):
                 body = node.child_by_field_name("body")
-                if body is not None and id(body) not in _tracked_body_ids:
+                if body is not None and body not in _tracked_body_ids:
                     # This closure's own params/locals (`(r) => c.get(r)`) are
                     # scoped to it, not to the enclosing caller_nid — but its
                     # calls ARE attributed to caller_nid right here, so a bare
@@ -5185,7 +5223,7 @@ def walk_calls(
     # skipped at the arrow boundary in walk_calls, losing its calls — so let
     # walk_calls descend into such untracked closures with the enclosing caller
     # (#1630 Pattern B). Guarding on the tracked set prevents double-walking.
-    _tracked_body_ids.update(id(b) for _, b in function_bodies)
+    _tracked_body_ids.update(b for _, b in function_bodies)
 
     # Body ids are unique (one language per file), so the Java (flat) and C#
     # (scoped, #2472) per-method receiver tables merge without collision — the
diff --git a/tests/test_extract.py b/tests/test_extract.py
index 8dc7a0278..29ddaa4a2 100644
--- a/tests/test_extract.py
+++ b/tests/test_extract.py
@@ -888,6 +888,88 @@ def test_extract_js_arbitrary_member_assignment_not_captured(tmp_path):
     assert ".whatever()" not in labels
 
 
+def test_extract_js_nested_function_declarations(tmp_path):
+    """#2653: function declarations nested inside another function emit nodes,
+    source contains edges from the enclosing function, and attribute call edges correctly."""
+    from graphify.extract import extract
+    f = tmp_path / "Panel.tsx"
+    f.write_text(
+        "function doThing() {}\n"
+        "export function Panel() {\n"
+        "  function handleClick() {\n"
+        "    doThing()\n"
+        "  }\n"
+        "  return <button onClick={handleClick} />\n"
+        "}\n"
+    )
+    result = extract([f], root=tmp_path)
+    by_label = {n["label"]: n for n in result["nodes"]}
+
+    assert "handleClick()" in by_label
+    assert by_label["handleClick()"]["id"] == "panel_panel_handleclick"
+
+    edges = [(e["source"], e["target"], e["relation"]) for e in result["edges"]]
+
+    panel_id = by_label["Panel()"]["id"]
+    handle_id = by_label["handleClick()"]["id"]
+    dothing_id = by_label["doThing()"]["id"]
+
+    assert (panel_id, handle_id, "contains") in edges
+    assert (handle_id, dothing_id, "calls") in edges
+    assert (panel_id, dothing_id, "calls") not in edges
+
+
+def test_extract_js_deeply_nested_function_declarations(tmp_path):
+    """#2653: arbitrary depth nested named function declarations establish hierarchical containment and correct call attribution."""
+    from graphify.extract import extract
+    f = tmp_path / "Deep.ts"
+    f.write_text(
+        "function doThing() {}\n"
+        "function Panel() {\n"
+        "  function outer() {\n"
+        "    function inner() {\n"
+        "      doThing()\n"
+        "    }\n"
+        "  }\n"
+        "}\n"
+    )
+    result = extract([f], root=tmp_path)
+    by_label = {n["label"]: n for n in result["nodes"]}
+
+    panel_id = by_label["Panel()"]["id"]
+    outer_id = by_label["outer()"]["id"]
+    inner_id = by_label["inner()"]["id"]
+    dothing_id = by_label["doThing()"]["id"]
+
+    edges = [(e["source"], e["target"], e["relation"]) for e in result["edges"]]
+
+    assert (panel_id, outer_id, "contains") in edges
+    assert (outer_id, inner_id, "contains") in edges
+    assert (inner_id, dothing_id, "calls") in edges
+    assert (panel_id, dothing_id, "calls") not in edges
+    assert (outer_id, dothing_id, "calls") not in edges
+
+
+def test_extract_js_nested_function_local_variable_preservation(tmp_path):
+    """#2653 / #1077: extracting nested named functions must preserve local variable suppression."""
+    from graphify.extract import extract_js
+    f = tmp_path / "LocalVar.ts"
+    f.write_text(
+        "function doThing() {}\n"
+        "function Panel() {\n"
+        "  const localValue = 123;\n"
+        "  function handleClick() {\n"
+        "    doThing();\n"
+        "  }\n"
+        "}\n"
+    )
+    res = extract_js(f)
+    labels = [n["label"] for n in res["nodes"]]
+    assert "handleClick()" in labels
+    assert "localValue" not in labels
+
+
+
 def by_label_by_id(result, node_id):
     for n in result["nodes"]:
         if n["id"] == node_id:
diff --git a/tests/test_js_dynamic_imports.py b/tests/test_js_dynamic_imports.py
index 5ee3a11c4..422c38f92 100644
--- a/tests/test_js_dynamic_imports.py
+++ b/tests/test_js_dynamic_imports.py
@@ -241,9 +241,7 @@ def test_line_commented_dynamic_import_is_not_matched(tmp_path: Path):
 
 
 def test_nested_named_function_calls_resolve(tmp_path: Path):
-    """The durable half of #2575: ordinary calls inside a nested named function
-    were dropped at the same boundary. They now attribute to the enclosing
-    function, exactly like untracked closures (#1630)."""
+    """ordinary calls inside a nested named function attribute to that inner function now that #2653 emits nested nodes."""
     f = _write(
         tmp_path / "src/mod.ts",
         "export function helper() { return 1 }\n"
@@ -258,7 +256,10 @@ def test_nested_named_function_calls_resolve(tmp_path: Path):
     by_id = {n["id"]: n["label"].rstrip("()") for n in result["nodes"]}
     calls = {(by_id.get(e["source"]), by_id.get(e["target"]))
              for e in result["edges"] if e["relation"] == "calls"}
-    assert ("outer", "helper") in calls, f"calls found: {calls}"
+    contains = {(by_id.get(e["source"]), by_id.get(e["target"]))
+                for e in result["edges"] if e["relation"] == "contains"}
+    assert ("inner", "helper") in calls, f"calls found: {calls}"
+    assert ("outer", "inner") in contains, f"contains found: {contains}"
 
 
 def test_dynamic_import_is_traversed_by_affected():