How to compare local variables with a reusable script in TestComplete?

Keep your function as simple as possible. Here's a better approach,

function CompareVars(var1, var2)
{
    // equal value and equal type
    if (var1 === var2) {
        Log.Message("Match!");
        return true;
    } else {
        Log.Message("Do not match!");
        return false;
    }
}

function main()
{
    CompareVars(Project.Variables.param1, Project.Variables.param2);
    
    CompareVars(Project.Variables.VariableByName("param1"), Project.Variables.VariableByName("param2"));
    
    var str1 = "Hello"
    var str2 = "Hello"
    CompareVars(str1, str2);
    
    var int1 = 10
    var int2 = 11
    CompareVars(int1, int2);    
}

The function just compares two variables (and the type), and that's it. You just pass in the appropriate two parameters, and results will be shown as