How to perform an IF…THEN in an SQL SELECT?

The CASE statement is the closest to IF in SQL and is supported on all versions of SQL Server

SELECT CAST(
             CASE 
                  WHEN Obsolete = 'N' or InStock = 'Y' 
                     THEN 1 
                  ELSE 0 
             END AS bit) as Saleable, * 
FROM Product

You only need to do the CAST if you want the result as a boolean value, if you are happy with an int, this works:

SELECT CASE 
            WHEN Obsolete = 'N' or InStock = 'Y' 
               THEN 1 
               ELSE 0 
       END as Saleable, * 
FROM Product

CASE statements can be embedded in other CASE statements and even included in aggregates.

SQL Server Denali (SQL Server 2012) adds the IIF statement which is also available in access: (pointed out by Martin Smith)

SELECT IIF(Obsolete = 'N' or InStock = 'Y', 1, 0) as Selable, * from Product

The case statement is your friend in this situation, and takes one of two forms:

The simple case:

SELECT CASE <variable> WHEN <value>      THEN <returnvalue>
                       WHEN <othervalue> THEN <returnthis>
                                         ELSE <returndefaultcase>
       END AS <newcolumnname>
FROM <table>

The extended case:

SELECT CASE WHEN <test>      THEN <returnvalue>
            WHEN <othertest> THEN <returnthis>
                             ELSE <returndefaultcase>
       END AS <newcolumnname>
FROM <table>

You can even put case statements in an order by clause for really fancy ordering.

You can find some nice examples in The Power of SQL CASE Statements, and I think the statement that you can use will be something like this (from 4guysfromrolla):

SELECT
    FirstName, LastName,
    Salary, DOB,
    CASE Gender
        WHEN 'M' THEN 'Male'
        WHEN 'F' THEN 'Female'
    END
FROM Employees

Microsoft SQL Server (T-SQL)

In a select use:

select case when Obsolete = 'N' or InStock = 'Y' then 'YES' else 'NO' end

In a where clause, use:

where 1 = case when Obsolete = 'N' or InStock = 'Y' then 1 else 0 end