I'd suspect that the smaller 'step' is a wear artefact due to the loose blade, not an original feature of the part. There should be cup washers on
both sides of the blade, when installed correctly.
They're No. 34 in this diagram from the IPL:
This shaft is correct for both full crank and PowerTorque engined TAC's.
https://www.outdoorking-forum.com.au/edgers/...genuine-victa-tilta-cut-spindle-me63216a