We investigate advantage distillation for paired-state Loop-Back quantum key distribution, with a fixed optical station serving a lightweight portable terminal. Alice prepares two polarization-encoded pulses, Bob selects and applies a polarization filter to each pulse, and Alice infers his selections from the returned detection pattern. The proposed advantage-distillation step selects consistent blocks of three two-bit records using two independent public parity checks on a minimal connected graph. The closing edge of a parity polygon is shown to be redundant: any spanning tree of the same vertices has the same acceptance set. We derive exact acceptance probabilities, residual-error laws, and retention rates. Under independent bit errors, the three-record filter reduces the leading error term from e to e^2, while its cost in discarded records and public information is accounted for explicitly. A modular security theorem bounds the additional guessing advantage available to an adversary after syndrome disclosure and block acceptance, including arbitrary quantum side information. We also evaluate a specified single-photon passive-tap optical channel, obtaining a positive conditional entropy bound and exact accepted-block security quantities. This parity-based advantage-distillation step detects discrepancies by postselection; it does not correct individual errors and is intended to precede conventional reconciliation. The architecture suggests two further directions: hybrid filtering and reconciliation, and key establishment between portable users accessing a shared quantum station.

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