Will the CAR update include the rules for 2.0? ie. any expansion rule amendments, UtBT, Watchtowers, Markets of Leipzig, Das Fest, etc?
No, at least not initially. My position is that there should be separate CARs for classic and revised Carcassonne. There are so many differences between tiles, tilesets, rules, and terminology that putting it all into a single document would be a mess. It also wouldn't serve newer players very well, who only have 2.0 stuff and don't care a thing about the classic game. This will of course be the ever-increasing portion of the player base. (And, to be realistic, there would also be plenty of 1.0 players who simply do not want to see all the new-art stuff clogging their CAR.)
Furthermore, I don't have the resources to make images and verify details on 2.0. I don't own anything 2.0 that already had a 1.0 version, except the Labyrinth tile (for obvious reasons).
And finally, I have no intention of bringing detrimental changes to things like wagon movement and meeple terminology into the 1.0 CAR. Version 2.0 is free to be whatever it wants to be, but I'm not going to be part of corrupting the little elegances of 1.0. Perhaps there will be some little footnotes here and there saying "This was changed in Carcassonne 2.0; see the CAR version xyz for details."