Good points Mike!
herkemeyer, I just created a file using your settings. As you can see, the Y does indeed start at -.884 per my calculations above. The only difference is I'm using a "stock" taper that came with cue cut. You may also want to check your custom taper and make sure nothing wonky is going on with it. Although Kelly's error correction has caught every bonehead mistake I've made.
What I don't understand is why your gcode is different than mine using the same settings. The only thing I can think of there is that it has something to do with your custom taper. That still doesn't explain why it's not cutting because at Y -.8880 it should be at least cutting.
It can only be one of three things:
1. As Mike said, be sure to double check your Y zero and make sure it's exactly centered (both headstock and tailstock ends).
2. Your Y calibration could be off.
3. You could have an inadvertent tool offset.
I can't think of anything else right off hand.
Let us know how you get on.
Edit: I replaced the image because it was late/early when I created the original picture and had the wrong gcode displayed. I had initially ran it with my values for the safe Y and Z and forgot to create another file after I changed it to your safe values. Didn't make any difference for the actual cut but didn't want to cause any additional confusion.

I'm wondering now if the code you showed in your post was created from an earlier attempt as well. That would explain why your code was showing a different starting Y cut value than what I calculated. Making this mistake made me realize how easy it is to do. Especially when it's late and you're in a hurry.

My apologies to anyone who noticed the safe Y and Z values didn't match the cue cut settings in the original picture.