I am working on my first fusee lever watch. Here is a photo of the hands. The square nut is used for setting in the clockwise direction with the appropriate key, and I assume that to remove the minute hand the nut must be unscrewed anticlockwise using the same key. It is extraordinarily tight for such a small nut and before applying more force I should be pleased if someone can confirm that it should be unscrewed.
The watch that I pulled the pinion off of yesterday pre-dates 1900 and has the the same dimple ground out of the side. The trench watch that I worked on a while ago was from 1913 and has the type of bent pin system that I'm talking about, hence my concern about you damaging your watch.
http://www.watchrepairtalk.com/topic/1520-trench-watch-help/?hl=%2Btrench+%2Bwatch
Having said all of the above, if as you say you cannot turn the pin using a pin vice it suggests otherwise. Is it possible to