JERRY - Yes, the little C60 Cub engine was really gentle on the rearends of a CUB. A strong Kohler in front of a Cub Cadet pounds the daylights out of it by comparison. I've been told the top sliding gear shaft in GD Cub Cadets is the weak spot, Guess that's why MWSC makes an alloy version, IH used mostly 1045 forgings for gears & shafts. But that OEM top shaft was supposed to be good for 15 HP in CC, but that doesn't matter because it has nothing to do with the rear PTO. ANYHOW, I would think the rear PTO could handle anything within the HP rating of a GD tractor. I mean if someone drops a 4.3L V-6 into a CC I would NOT try to run a PTO dyno with one in that situation. And as always, shock loading is what normally tears things up, that instantaneous overload.
Having been around FARMALL's all my life, the old transmission driven PTO's have never been "Problems". Occasionally something weird happens and the splined shaft sticking out of the back of the rearend breaks, afterall it's only 1-3/8" dia., and the old rawhide oilseals dry up and leak. Both my Super H & M have spent thousands of hours doing PTO work, the M especially. It lived under the 2M-E picker for 21 or 22 falls, ground cattle feed all winter for close to 30 yrs. Super H also ground some feed but it sure didn't like it! And cut thousands of acres of hay, clipped pasture, chopped stalks, etc. with a 6-ft Brillion rotary cutter. It also did a little "Landscaping" with that chopper from time to time. I used to carry a pound coffee can full of shear bolts in the toolbox all summer.
I agree 100% with your comment about using some sort of dampener on ANY kind of power driven equipment. V-belts actually make great dampeners.
Speaking of IH and PTO's, IH had one of the greatest live PTO designs in the industry, they had both shafts geared together in the same housing, hyd. clutches, brakes, even had it's own hyd. pump. Some antique tractor pulling groups require the tractors to make a dyno pull to make sure they're "Legal" Even though a 1206, 1456, etc. was supposed to be only 120 to 150 HP, those old PTO's handle 400 HP before the wet clutches start to slip. Typical IH, Build it to take 2-3 times what it has too!