Welcome to OCC. If the muffler is getting hot enough to burn the belt then I would guess the motor is overheating, there's probably a mouse nest in the blower housing which is keeping the fan from cooling the engine. I would pull the engine and pull the tins and give it a good cleaning. The other option is that the carb is set to lean but I would pull the tins and clean before I went adjusting the carb. If the engine has been running that hot it's probably a safe bet that the head gasket has blown, that repair is pretty easy while the engine is out and the tins are off. Start a thread on the topic in the IH tractor section.
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