I would check the PTO engagement gear and other engagement parts in the nose of the transmission. If all looks good, then I suspect that the hi-lo planetary is at fault.
Does the tractor pull normally? Can you put the nose of it against a tree and spin the tires in high and low gear? If someting slips and the wheels do not turn while against a tree then there definitely is a problem with the hi-lo clutch/planetary.
If the tractor wheels dig into the dirt with the tractor against a tree (both high and low), then I suspect something else is wrong.
The PTO clutch and planetary and the hi-low (left lever) clutch/planetary are shared.
The good news is that isn't horribly difficult to service. It just takes time. I use a 3/8" impact wrench to make the job go quick. The short version is that the engine has to come off.
The following is from memory so I may have forgotten something.
The procedure is as follows:
Leave the mower deck on the tractor
Remove hood.
Remove battery.
Remove battery box.
Remove fuel tank
Drain the transmission
Remove rear hitch.
Disconnect control cables, hose, and coil wire at the engine.
Loosen bolts holding handle bars to support brackets.
Remove bolts holding control levers to handlebars
Loosen bolts holding handlebars to advance casting.
Remove upper engine bolts.
Remove dash bracket.
Lift up handlebars and wire to overhead rafter so that the engine can clear the dash.
Remove bottom bolts holding the engine to the transmission
Remove engine.
Once the engine is off, the planetary and clutch is right there.
A few notes:
- Don't even think about removing or installing the engine without a floor or transmission jack.
- A helper may be needed when installing the engine.
- Do NOT use any sort of gasket sealer between the engine and transmission. Use a gasket and if it needs to be held in place, apply some grease. Gasket sealer can make it almost impossible to remove the engine later.
- Never use bolts to draw the engine to the transmission. It should go on by hand all the way.
- Rotate the crankshaft by hand when installing the engine. This will facilitate engagement of the crankshaft and planetary gears. Do NOT use the electric starter to rotate the crankshaft.