Join Date: Dec 2007
Location: lakes region, NH, usa
As others have said You simply have a crushed axle due to it being over tightened, you are trying to push a oval through a round hole and it is likely oval on both sides. Get a plastic or other soft driver and beat that sucker out of there. You will do no harm to the forks and the axle is already done, it is common when people do not use a torque wrench and do not know how tight to make things.
I have a number of customers with similar axles and they choose to let me deal with it, you know know why to not over tighten the axle so if you buy a new one you are not likely going to cause the problem again. Buying used axles is gambling because this is so common, if the used axle is guaranteed then that's one thing otherwise either get used to it or buy a new one. And a torque wrench.
There are many critical fasteners I do not torque because I have been doing this so long, those pinch bolts (or any pinch bolt for that matter) I always torque. Now pull up your skirt and get that axle out of there! lol