5 A taxpayer loaned $2,000 to her best friend in 2020. The friend filed for bankruptcy in 2021 at which time the taxpayer was told to expect to receive $.60 on the dollar on this personal loan. On February 2, 2022, the taxpayer received a final settlement of $950. How much can the taxpayer deduct in 2021 and 2022, and how will the loss be treated on the return? 2021: $800 short-term capital loss; 2022: $250 short-term capital loss 2021: $0; 2022: $1,050 short-term capital loss 2021: $800 long-term capital loss; 2022: $250 long-term capital loss O 2021: $0; 2022: $1,050 long-term capital loss None of the above