Scrape away enough of the existing plaster over the seam to get at the tape, using your drywall knife.
Pull the tape off the wall, slowly, so it doesn't tear and takes the rest of the plaster with it. Go back over the line with your knife and scrape off any residual plaster, so the seam between the boards is completely exposed.
Set drywall tape over the seam, from end to end.
Use your drywall knife to lay a line of joint compound over the drywall tape. The line should be about 4 inches wide (wide enough to cover the tape) and flat and smooth.
Let the compound dry for six or eight hours. Scrape off any bumps or ridges from the surface with your drywall knife.
Spread on a second layer of joint compound over seam. Make the compound line about 6 inches wide, keeping it very smooth. Let it dry for six or eight hours.
Scrape the compound again with your drywall knife. Add the third drywall coat, making it about 8 inches wide. Let it set for 12 hours.
Sand the seam smooth with your sanding pad. The wall is now ready for re-painting.