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Looking to finally get back into 40k. I need suggestions on brands as far as quality goes. I used to use Vallejo back in the day and was always happy with their products. Also you army painter wash when i was cranking out ork boyz.

So basically I am looking for brush suggestions and I need to pick up a basic set again. Assume I have nothing, but know how to paint/model

From what I've read over the last few years, Vallejo is still a great choice. I had some for a while but went back to GW as I found them easier to work with (I hardly ever use a palette any more, just dip in pot & use). The current GW range though is just too vast for me but luckily still have plenty of the previous range left.
Hope that helps.

Such a noob question here but, Allies with daemons?

Depends on your main army.
There is a table in the GW rule book:
Can't ally with Marines, Eldar, Grey Nights,Necrons, Sisters or 'Nids.

Vallejo is still as good as ever.

I really enjoy the controll from using a palette and to always work the colors to perfect consistency. For this dropperbottles are superior. An alternative of equal quality is Reaper Master Series. They differ mostly in the blend medium used when making the paints but that is just a matter of preference.

One thing to consider though if you want to go Vallejo. I started using the Vallejo Game Color line mostly because it was easy to think in GW likeness. But I have since gone almost exclusively to the Vallejo Model Color line since it has way more variety. They mix well so you don't have to be exclusive though. Just get what you like and go nuts.

When it comes to brushes. Pretty much any artstore has better brushes as better value than gamestores. Just try and see what matches your style best.