Small Engine Troubleshooting Problems? Ask a Mechanic Now.
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Double check the alignment of the gears that make up your differential assembly. This is the area of your transmission that is at fault, many times when this problem occurs. Make sure that your washers on your axles are in the correct position.
When your differential assembly is reassembled correctly, your axles should turn freely, if you turn them, one at a time. If you turn one axle forward, the other axle should spin backwards. We can continue from here. Thanks!
Please take a look at the image below. It shows the internal parts of your transmission.
For now, focus on the gears I have highlighted with the red arrows.
Parts Diagram - Click Here