I have discovered by playing around with a jumper wire and a 10k pull-up resistor connected to the BUSY signal, that if I pull it high, and then hit the split/lap button a bunch of times, it keeps the printer from printing until I yank the resistor and let BUSY float, at which point the printer dumps the accrued lines of data.
So, it looks to me like the BUSY signal is a "wired OR", providing a means for telling the data interface to buffer the data. So, I'm thinking that so long as your microcontroller is fast enough, it shouldn't have to observe or control BUSY.