Tha A3 and Golf with the same engine are going to be pretty similar. Unusually the price gap between the two isn't as great as before, so the A3 - which should hold its value better - could be the better bargain of these two.
You'll either prefer a BMW to a VW/Audi or you won't. BMWs suit those who like to stretch themselves and their cars, whereas VAG cars suit a more relaxed approach. A test drive is the only answer to this subjective question.
The 120d engine is an older design than the new 150 bhp VAG motor, and may be a bit less refined.
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