Dunno about traction control, probably does although you wouldn't want it on for a pass or it's defeating the purpose of slicks really. The ZF box doesn't like variation in L/R on the back, hence it's a good idea to have a same diameter spare to the 4 on the car. Not sure if prolonged use can damage the box though, I've never tried it nor read anywhere that it can. F/B shouldn't have any affect on the box at all.