Leland pays premiums of $$5,000$ for an insurance policy in the face amount of $$25,000$ upon the life of Caleb and subsequently transfers

the policy to Tyler for $$7,500.$ Over the years, Tyler pays subsequent premiums of $$1,500$ on the policy. Upon Caleb's death, Tyler receives

the proceeds of $$25,000.$

As a result, what amount is Tyler required to include in his gross income?