I think this list can be broken down in to 4 categories, with elements of some overlapping:
Strategic:
1. Am I at war with another Civ? (2 front wars should be deeply undesirable to any AI)
2. Is the capitulating civ at war with other parties?
3. Would accepting the capitulation put me over the domination threshold?
4. Is the capitulating civ building the spaceship?
5. Will they act as a buffer between us and another, stronger than us, civ?
6. Or, If we conquer them will we be close to more, weaker civs? (ie further conquest)
Economic:
1. Do they have strategic resources that we do not have, or only 1 of? (bronze/horse/iron/coal/oil)
2. Do they have valuable financial resources?
3. Do they have valuable Financial wonders? eg Colossus, Great Lighthoise, etc.
Domestic:
1. Do they have valuable Happiness resources?
2. Is their culture strong? Ie how likely are they to rebel?
3. Do they have valuable happiness/Culture wonders? eg Notre Dame, Eiffel Tower, etc
4. Will it be more expensive and dangerous (rebellion) to conquer than to leave as a vassal?
Military:
1. Do we need the troops to fight another, more powerful enemy we are already at war with?
2. Are the potential vassal spread out over islands, thus making a slow, awkward conquest?
3. How much power does the capitulating civ have? (ie are they useful as a War Ally?)
4. Conversely, if they rebel, will they be dangerous?
5. Do they have a high value city left, that is weakly defended? Also converse is true- are their remaining cities strongly defended?
5. Have they rebelled before? ie if this is say, the 3rd time theyve made a full blown non-barbarian rebellion, then maybe better to just raze their civ and build on its ashes..
6. Will they act as a buffer between us and another, stonger than us, civ?
HDK