Absolutely get rid of the carpet. On my list to do for this weekend is to clean the little bit of carpet we have - only around the driver passenger seat area - which still manages to get horribly dirty despite no shoes, mats etc. I am thankful the rest is vinyl.
I'd like to echo PondLady's suggestion on vinyl vs laminate for two reasons. First off is weight - vinyl weighs less than a laminate, and as Jan has pointed out the laminate is not water proof and is a bit more complicated to clean. For the amount of space you are doing, you could get a high end really attractive vinyl.
I absolutely agree with the tall faucet idea. The dumb bunnies who put in those low faucets clearly have never had to wash dishes in those sinks! I'd add to that though a high faucet with a pull out sprayer.
Depending on what kind of condition your countertop is in - you can just put a layer of new formica over the old counter top - less expensive and fairly easy to do. That way too you can make all the surfaces in the TT match without having to replace them all.
One advantage of pulling out all the paneling is that you really get a good look at what's underneath - and can fix any damage that might be hidden. There are links on this site to some amazing TT restoration projects and what has amazed me is the amount of damage that was completely hidden. My guess is that once removed the paneling will not be useable.
You might take an afternoon to go through TT at your local RV superstore to get some more ideas on what you would like to do when you remodel.
One area you didn't mention was lighting. I would consider using LED lights (which yes are expensive) to use less electricity and save your battery.
Another area you didn't mention was entertainment - and if you are removing paneling it's an ideal time to run cable for tv etc.
If the panels are removed I'd also think about electrical - obviously checking what is existing, but also consider adding outlets, outdoor lighting, etc.
Hope some of this helps. I would love to see pictures, both before and in progress, and of course the grand unveiling!
***** ***** ***** 2011 Georgetown 320DS new June 2010
days camped in 2010: 61
days camped in 2011: 37 (up to Aug 1st)