I bought an 05 GT used and it did not have a manual with it. There is a TCS button which I am guessing is a traction control system button. Am I correct and if so what exactly does it do. What are the benefits of having it on or off if I decide to race my car at the local track?
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You're correct, it's traction control.. basically, it can apply brakes or cut throttle if it detects wheelspin.
As a general rule, you want it OFF for perfomance driving, such as at the track.
For daily driving, it seems to be a matter of personal preference - some here leave it on, others turn it off. If you leave it off, just don't blame anybody if you spin out on a freewayon-ramp in the rain.
A_J is correct. It uses the ABS sensors to compare rotational speed of all wheels and make sure you don't do burnies [8D]If you try, you will get the "throttle shakes" in a big way [:'(]
I purchased a small module that keeps it "off" by default.