Ever since I got a tablet PC, Microsoft's OneNote has made it to the top of favorite software. In the latest 2010 Office release, Microsoft included a printer "driver". In other words, a PC recognizes a "virtual" printer even though the device does not physically exist. By default, the "virtual" printer should be installed. I had to do a reinstall of Office recently, but to my dismay, it would not show up! After doing some research, I came to the conclusion that in order for Send to OneNote to work, the XPS driver needs to be installed beforehand. Once you verify that the XPS driver is installed, just do a repair install of OneNote and you should be set!
If for some reason the XPS driver is not installed, go to "Turn Windows features on or off." You should find something similar to the window below.