In 2017, Sarah (who files as single) had silverware worth $10,000 (basis $6,000) stolen from her home. Her insurance company told her that her policy did not cover the theft. In 2017, Sarah did NOT itemize her deductions. In February 2020, Sarahs insurance company decided that Sarahs policy did cover the theft of the silverware and they paid Sarah $5,000. Determine the tax treatment of the $5,000 received by Sarah during 2020. The standard deduction for a single person in 2017 was $6,350.