I use it. You just need to have the drivers on the remote RDP host for the local printers you have before you connect. Normally, I just print to a shared printer anyway, but printing to local works ...

Client is a Win XP 32bit. Printer is a network printer spooled on a Win 2003 R2 32bit server. Both 32bit and 64bit drivers are present on the print server. The XP client is only aware of the 32bit ...