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Not sure if its the same around the world (I assume it is), but here in SA the early 2006 models had engine code axx this was later revised to the newer BWA engine code. Differences iirc are, new head, cam followers and change in software. Although VWSA has said both engines produce the same power output it has been proven many a times that the BWA is stronger of the two.
Not 100% sure if this is the case in Aus so maybe someone can confirm.
Not sure about the engine but the interiors are slightly different. The 08 will have a full height MFD, Newer RCD500 head unit (it has silver keys) which im fairly sure is mp3 cd compatible where as the black keyed unit in my 06 does not read mp3 cd's.
I have heard there is a greater difference between the 05 and 06 model as the 05 models had stronger engine internals and a few other goodies which i heard vw took away to reduce production costs. Not sure how true this is though..
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