Get yourself some drywall paper tape and compare it to what is on your wall. It could be that they put the minimum of mud on under the tape and left it at that. If so, then you should be able to lift this tape off and then retape. If the tape is in really good condition and tight to the wall, you could overcoat is and finish as it is.

You really need to determine what the tape is before proceeding. See if it will abasorb water. If it does it is probably paper drywall tape without the finish coats. If it doesn't absorb water, it is probably masking tape and has to be removed.

If you do go to remove it, score it along the edge with a razor knife so you dont rip up the drywall.

Sorry, I should have explained better. The tape is bubbled and really has to come off. It is obviously not mudded over the top of the tape not sure about underneath yet. I know that i have to retape, I'm really wondering about the joint compound and how to start over the paint. Do I need to prime or will it work over the old paint? The paint is probably at least 30 years old. The scoring is a good point though, i would have started pulling. Thanks again!

First, scrub or wipe down your wall to get it clean of any dirt or grease. That should be sufficient for preparing the surface for retaping. It has worked fine for me anyway.

Remove your old tape by scoring on each side as mentioned. Lift it off and retape and finish. A procedure for retaping drywall is linked to below.

Here is a link that might be useful: Retaping Drywall