assuming a single-member LLC and that you or the LLC had title to the vehicle, the answer is no. you should have been depreciating the vehicle during the period of ownership based on its total cost and % of business use. the only part of the payoff that would be deductible based on % of business use is the interest. if you own it and have not been depreciating it see a tax pro so this can get fixed. if you leased the vehicle then there may be an issue as to whether or not it should have been treated as a capital lease (as if you purchased it).
For tax purposes, a lease is considered a capital lease when the amount of the lease is $50,000 or more, the useful life of the asset is two or more years, and the lease meets at least one of these criteria:
- Transfers owner of the personal property to the lessee by the end of the lease term
- Contains an option to buy at a bargain price
- The lease term is 75% or more of the estimated useful life of the property
- The Net present value of the property is 90% or more of the fair market value of the property
