How I solved my rubbing problems...
  If you want to run wider tires or smaller offsets on your Mk1, you will more than
likely encounter rubbing problems.   Here's what I did to minimize rubbing.
GRIND EM!!!
  I chose to grind my fender lips as opposed to folding them because I wanted to have
all the clearance I could afford.   Folding works fine, but it still leaves a few mm
of lip for the tire to rub on.   By grinding the lip off, right out to the edge, you
get maximum working room.
  Before getting started I should mention that this
procedure was done on the rear fender (quarterpanels) of an Mk1 Scirocco.   Albeit
most watercooled VWs use the same rim offsets, I can't be sure that this procedure
will achieve the same results because of body irregularities on different models.
  For those of you who wonder why I didn't shave the front,
its cuz the front is usually much stiffer and also you have the ability to change your camber.   Here we go...
  The process is pretty straight forward.   All you need is either a disc grinder
with metal grinding blade on it, or you can use a die-grinder.   I used both, as the first time I shaved my fenders I didn't give myself enough clearance.   The real
trick in this procedure is making sure you dont slip and grind on the exterior of the car.
  Also, do not sit with the grinder in one spot for too long.   You may end up
boiling the paint on the exterior.   I recommend grinding with long strokes, taking a
break every few minutes to let the metal cool down.
  As far as where to shave and how much, it all depends on what setup you are using.
  I am currently running 205/40/17 tires on a 7.5" rim w/ 35mm offset.   With this
setup I knew I would encounter rubbing, so I tried to shave off as much as I could in the
areas that I thought would be sure to be a problem.   Here are some pics showing
where I knew rubbing was likely to occur:
      
  As you can see, I shaved to the edge on about half of the fender.   Starting from
where the bumper lines would intersect the fender lip, I shaved it clear off, up until
about the top of the fender.   I still encounter rubbing just above the bumper line,
but that is usually when I have 3 or more people in the car.
  But as it turns out, I would also encounter rubbing problems on the front part of
the fender.   The next few pics detail where I started to taper my grinding, and also
where I recommend grinding more.
      
  You can see that I started to taper my grind at about the top of the fender.   I should have started my taper at the bumper line on the front side of the fender because I
still encounter minimal rubbing there while under load.
  Even tho I still rub on the front part of the rear fender, its very rare.   Also, now that I have the car painted, I am reluctant to shave off more for fear of
accidentally grinding on the exterior.   So my advice to you is if you plan on getting
some wide rims or low offsets, shave off EVERYTHING between the bumper lines.   If you
already have your car painted and are worried about grinding on the exterior, you have the
option of folding the lip, but it wont get you as much clearance as grinding.   Should
you want to grind over your new paint, by all means "rock on".   Just be carefull.
  Should you decide to shave your fenders, be sure to shoot some high quality primer
over the exposed metal, followed up by a sealer, and then with paint.
  So now you may be wondering what rims/tires do I need to worry about rubbing?  
Its been my experience, that on the Mk1s that you can't have any rim with backspacing of
130mm or larger, unless you run smaller diameter springs, such as with some aftermarket
coilovers.   Backspacing is calculated by adding the offset and half the rim width
(in millimeters - 25.4mm per inch).   For example, my backspacing on my 7.5" rims with 35mm offset would
be:
(7.5"*25.4mm)/2 + 35mm = 130mm
Thats the max I think we should have.   You can certainly have less than that, but its
also a factor of how wide you want your tires.   Usually, the larger the profile,
the wider the shoulder of the tire, hence you may need smaller offset.   Its been my experience that you need to run the following to limit rubbing (assuming max tire of
205mm):
6.0" rim - 43mm to 45mm offset
6.5" rim - 40mm to 42mm offset
7.0" rim - 38mm to 40mm offset
7.5" rim - 33mm to 35mm offset
  Offsets vary between manufacturers, as well as tire widths.   One wheel/tire
combo may work better than another.   Just try and keep your backspacing under 130mm
for your wider rims, and around 120mm for your smaller width rims.   But remember,
Its always easier to work around having rims with larger offets than it is than having
ones with smaller offsets - through the use of spacers.   If you are interested in
playing with a backspacing calculator, one is available off the Scirocco.org site.
(the link is available in my LINKS section)   Once there, click on the tire.
  Any questions?
