if the LLC was a sole proprietorship there are no tax consequences for taking personal possession after the business closes. your tax basis would be the $58k less the $36K in depreciation. it is now a personal asset so if it was sold or traded in for less than the net of $22k no loss would be recognized. if it was for more you would have depreciation recapture for the difference between the value you get and the $22K
now if the LLC was an S-Corp it's a distribution to shareholder. The amount of the distribution is considered to be the property’s fair market value (FMV) (Sec. 301(b).
When property that has an FMV in excess of its adjusted tax basis is distributed, gain is recognized in the same manner as if the S corporation had sold the property to the shareholders at its FMV (Sec. 311(b) via Sec. 1371(a)). The gain would be ordinary income due to depreciation recapture Sec. 1245. The gain passes through to the shareholders and increases their basis in their stock. If the distributed property has an FMV that is less than the corporation’s tax basis in such property, Under Sec. 336, a loss can be recognized if the distribution is in liquidation of the corporation. The shareholder’s basis in the distributed property is its FMV Sec. 301(d).
should the shareholder later sell or trade in the vehicle - if the value received is less than the FMV on distribution, no additional loss is recognized by the shareholder. if the value received is more than that FMV gain would be recognized.
