1) A1200 doesn't have VGA-port, but there are several options to get it in SVGA-monitor.
Cheapest and simpliest is plain RGB->VGA adapter, which doesn't have any extra logic. It just passes Amiga's signal to VGA. Most "PC" monitors don't display standard PAL/NTSC resolutions (but some LCD displays do nowadays). AGA, OTOH, can display VGA-compatible modes, so you can set screenmode to one of several options like DBLPAL, Super72 etc instead of PAL. You can find those extra monitor drivers from Sys:storage/monitors drawer. They have >30kHz output and will be displayed on SVGA-monitor. Problem is, that you mostly can set the display for Workbench and utils, but games and demos don't have selectable screenmode.. they're hardcoded to use PAL display.
Other option is to get scandoubler. It doubles the 15kHz output to 30kHz and shows PAL modes on VGA too. It's bit more expensive and some models work better than others. Probably a good middle way solution.
3rd option is to expand your A1200 with some busboard or PPC-accelerator and get proper gfx-card for it. Then you get PC standard display modes with good resolutions and color depths. Displaying PAL modes can be a problem with most of the gfxcard solutions too.
If you want to use Amiga only for games and demos, then you could connect it to your TV set. RGB->SCART will give the best picture quality. Second best would be self made SVHS modification, third built-in composite out from Amiga and the absolutely worst is to use built-in RF-modulator in A1200.
2) The easiest way for original case (assuming it's not put in tower case and doesn't contain zorro or pci bus) is to get 16bit PCMCIA network card. There are drivers and compatibility lists in Aminet. Check cnetdevice-1.9beta1.lha, 3c589.lha and prism2.lha archives. The latter is for WLAN cards and others for normal wired cards. It may be difficult to find compatible cards as new anymore, but there seems to be pretty much used ones around. I have recently bought working 3com card and Lucent's WLAN card which I have in use ATM
There isn't CSS capable browser for classic Amiga still, so when you've used to PC browsers it may feel all browsers are unusable. Also AGA restricts gfx modes for browsing bit too much. But if you have correct attitude, you can do needed things with Amiga browsers too
Missing CSS only means uglier pages, but usually they work otherwise. Browsing is much more enjoyable with Amiga equipped with good gfx card.. it really makes wonders to web experience
IRC has been always the strong point on Amiga. AmIRC is still the king, but it hasn't got updates for some time. There's also new freeware client, WookieChat, which is progressing really nicely and will be enough for most.
For using the net it would be good to have some sort of memory/cpu expansion on your A1200. With standard A1200 it might be a bit difficult.. maybe basic ftp/samba transfers would work.
3) There have been some PCMCIA CD-ROMs, but I wouldn't recommend them. It's better have network card on PCMCIA. You can attach CD-rom to IDE. A1200 has 2,5" IDE connector, but with correct cabling you can have two devices attached to it. Or you can get so called IDE-splitter, which will allow up to 4 devices and has also 3,5" port on it. You must also remember that A1200's standard PSU might get too much load with CD-rom.
But if you get network card or USB, do you really need CD-rom then?
4) You need USB-stack, usually Poseidon on Amiga. I'm not sure if it comes with Subway.. maybe. Poseidon is pretty comprehensive and mounting USB-sticks etc is pretty much automatic
Only thing you might need to do is to copy fat95 to L: and then it mounts USB mass storage devices automatically when they're inserted.
5) Some sort of accelerator makes life easier always. 030/50 with some memory is a good start. You can find them pretty cheaply if you look some time... unless it already has some accelerator card inside
6) Real is always the real
But it's up to everyone how he/she feels it
