There isn't a nut or washer. The key clearly goes into the shaft but not all the way through
#4
BlazNT
Remove the 2 bolts and thread them into to other 2 bolt holes. These are designed to use the bolts to remove the top retainer. Tighten them equally one then the other till it pops off. The reason the key looks like is because of very low tolerances of machining.
#5
Padroo
I haven't had to touch my spindles yet since my IS 3200 is still new but when I saw the top of the spindle I recognized it as having two threaded holes which in the steel mill I worked as a millwright were referred to a "Jacking Bolts" . Like the other guy said, remove the two and screw them into the other holes and tighten them a little at a time to keep even pressure on them. What it is doing is breaking a tapered fit. They all work the same. Don't break them off.