Cauldrons with water in them should extinguish you if your on fire (via jumping into them).
Water in Cauldrons should be retrievable with a bucket if the Cauldron is full.
Lava should be able to be store in Cauldrons like water and be retrievable with a bucket.
Lava stored in Cauldrons should ignite/damage anything inside of it and destroy items thrown into it (Aka act like normal lava).
You should be able to pour potions into Cauldrons for storage and aesthetics. One bottle equals one-third of the cauldron's storage capacity. Different types of potions can not be poured into the same Cauldron. Potions can be poured into the Cauldron by right clicking on the cauldron with the potion and glass bottles can be filled the same way.
Yada yada yada this probably has been posted before (Too tired to stay online to look) if this needs to be moved, merged, or deleted feel free to do so.
Definitely a positive change, with this, you could have a couple cauldrons in your house, and carry around 6 Glass Bottles. Say your going mining, searching for a Dungeon or even if you just feel insecure in your mine, you simply walk to your cauldron room (assuming you keep all your cauldrons together), and grab a couple of your Splash Potions of Harming, and a couple Potions of Regeneration, and you go.
One question though: Why would you want to put Water/Lava in a Cauldron? All it does is make water finite (with water from a spawner you can gather infinitely, as for lava, why in a cauldron, it does the same thing outside of the cauldron, only with a cauldron the lava wont spread. Using it with lava, it's just a more expensive, inconvenient bucket (you can burn yourself near/on top of it, it can't carry lava in your inventory).
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I know where Zombies come from. I eat Rotten Flesh. I am a cannibal.
Instead of merely placing potion liquids into the cauldron, I think a couple of new potions effects should be cauldron brew only. None of the ingredients for the potion stand would work in the cauldron vice versa.
I like the idea of a 1-block size incinerator, I like a smaller trash can.
It would have to be safe in a wooden house though.