It doesn't work out narratively for several reasons (Xander has been such a dick all season his death wouldn't have the same audience impact as killing off the only character everyone agrees has never done anything wrong, and also he's been in Willow's life all along so the motivating factor of "after years of being treated like a worthless side character someone finally came along who made me like myself" wouldn't be there) BUT on the plus side Tara would be alive and Xander wouldn't be in S7.
The uno reverse of Spike getting his soul back instead of his chip out continues to be a very VERY stupid fake out.
Meanwhile in LA: A was a big fan of Connor sinking Angel to the bottom of the ocean while Cordy ascends to a higher plane, both for the visual parallelism and the fact that it got them away from having a romantic relationship when they are PERFECT BEST FRIENDS. They were less enthused about Wesley/Lilah (not upset just not interested), but I'm pretty stoked for S4 "I'll take away your bucket" Wesley.