Im gonna go against some of the things said here .
If your going for 150kw atws or less then by all means get a gti , it will be far cheaper to do it that way .
But if you want more then its not worth changing to a gti .
Biggest issue with the mk4 gti Australia gets is there is no map sensor hooked up so your limited by whatever the MAF can max out at . You'll find the most power you can get out of a mk4 gti will be one fitted with a VR6 MAF . The biggest turbo you can safely use then while using the MAF inputs is a gt28rs , and even then you need to find a tuner who could tune it (long and costly as there is no off the shelf tune AFAIK) . So basically going gt2871r or bigger on either the mk4 2.0 or 1.8t your going to need stand alone which most run a map sensor .
The 1.8t engine has a lot more headflow compared to the 2.0 , but if you start going past the 250kw atws mark you'll need to start upgrading cams/cam valves , valve springs etc etc . The 2.0l 8v has 1 cam , 8 v and 8 valve springs . The 1.8t has 2 cams , 20 valves , 20 valve springs etc . The cost to rebuild a 1.8t head will far outweigh the 2.0 . The 2.0 is also a larger capacity to begin with so youd need to buy a stroker crank for the 1.8t to get it to 2.0l . Then you will need to clearance the block etc . Even smaller things like the timing belt the 1.8t is usually converted to the non-hydraulic set up due to the high rates of failure of hydraulic units at higher rpm/load . So by the time you build the engine to take big power it will cost less for the 2.0 than the 1.8t .
The gearbox in the 2.0l is pretty much the same as the 1.8t . The seats may be better in the gti but once you start getting decent power your gonna need a 4 point harness and proper bucket seats anyway . Same goes with brakes , 288mm brakes with 400hp+ just wont cut it so any advantage the gti had here no longer applies . I could go on but I dont have time .
In the real world yes the fastest fwd VW in the world is a 1.8t , but less than 0.01 seconds slower is a 2.0t :
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YouTube - Arrancada Recorde FLD Sapinho 8s774
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