The TS never pulls the driver from the client. It only maps the printer if the same driver that is on the client was installed on the TS.
The drawback of installing drivers on TSs is what you are currently experiencing. Most printer drivers are NOT developed with TS in mind and the first symptom you will notice is the spooler crashing. It may get worse, to the point your server blue screens (depending on the drivers used).
Ideally you should indeed remove all drivers and only install the latest versions if no other option is available.
That is the main reason why on Server 2008 Microsoft came up with TS EasyPrinting, so users can print regardless of the printer they have, without you having to install anything on the server.
For 2003 there are products like UniPrint, ThinPrint and Simplify Printing that will do the same. But they cost money. :-(
Cláudio Rodrigues
Citrix CTP