The old problem of physical versus software pin allocations.
If it is physical pin 3 then instead of Toggle, look at the PULSOUT command (P113 in PICAXE manual 2).
You can set the duration of the pulse with the PULSOUT command so basically momentary output.
I did mean input pin 3
On simulation you use mouse pointer to press on, then use pointer again to press off, It would be helpful if the action momentry only. ie switch turns off when you release pointer.