1. Is questing in yet? If so how do i start a quest?
Supposedly yes. No idea how it works, didn't get one either.
2. Is diplomacy working? If so why when i meet a nation do they not show up in the diplomacy screen?
Yes, but the AI refuses almost everything. Your problems look like a bug.
4. Can you build harbors and boats? (im sometimes stuck on an island)
No. No walking or building on the coasts yet.
5. Taxation of the population working? 1000 pop town and only 3 gold per turn (due to other buildings.)
Yes, it's working. The kingdom report screen is still broken though. Look at city details screen for precise figures.
7. Spells? Where are they? I have a spellbook full of only a few raise land spells and thats it, do i find them?
Everything you can get at the moment is in the spellbooks and only soveregin can cast them if you have proper shards.
8. Ageing? Got my main guy to age 82 and he was still kicking ass and taking names... Does he ever die from old age?
Soveregin is immortal, butthe family is suposed to age and die. Can't say if it works though, my games crash well before that might happen.