Please Look at below statement where There is anInvalid use of bracket and Select statement.
Your code is little bit confusing.
AppServerSource = (Select IsNull(t1.ServerName,t2.ServerName) as ServerName
I tried to fix as below. Please try this one :
select distinct
t1.ServerName,
t1.[Application ID],
t1.[Application Name],
t2.VP1,
T2.VP2,
T2.SVP,
T2.[DC2015 Move Group],
T1.[System Type],
T3.Line,
IsNull(t1.ServerName,t2.ServerName) as ServerName,
IsNull(t1.[Application Name],t2.[Application Name]) as [Application Name],
Case
When t1.[Application Name] is null then 'Check'
When t2.[Application Name] is null then 'Payorder'
Else 'Both'
End AppServer
from Table1 t1 INNER JOIN Table2 t2
on t1.[Application ID]= t2.[Application ID] and t1.Servername = t2.ServerName JOIN BIM T3
ON t1.[Application Name]= t3.[Application Name]
order by Servername