I shoot RAW so in-camera noise reduction has no effect anyway, and your mileage may vary, but I would leave noise reduction off.
The latest crop of digital SLRs all have excellent noise characteristics. We are at a point where digital noise is generally cleaner than film noise but for some reason we want even more. Worse, many people are looking at images 100% on screen and fretting over noise that would not be seen in a printed image.
Further, these higher megapixel cameras, while not necessary on most fronts for most people, do produce smaller perceived pixels in a print such that the "grain" of digital noise is finer and more film-like (at least from my Nikons).
Nose reduction ALWAYS takes some detail away, though is less noticeable if you are only adjusting chromaticism rather than luminance. However, I think we have gone too far in noise reduction these days where I feel it is no longer really necessary. People rave about solutions like Noise Ninja, which I find to be no different than any other noise solution at removing detail to imply a smoother tone. In fact, this is one of the things I really like about Aperture. Compared to other packages Aperture has little for noise reduction unless you use a plug-in. However, as I say I don't think it's as necessary these days and the little Aperture does is enough...it actually retains detail I had forgotten was in my images due to even mild noise reduction in other packages. My photos from Aperture "appear" to maintain a greater level of detail and ever so subtle grittiness than other packages which contribute to Aperture's better "film look" in my opinion.
All the best,
Jesse Widener
Art and Structure