After qualifying for workers' compensation, what percentage of Perry's salary payments is taxable when he performs light duties?

When an individual like Perry qualifies for workers' compensation, the nature of the payments he receives while performing light duties is important to understand in terms of taxability. In the context of workers' compensation, benefits are generally intended to replace lost income due to injury or illness.

All payments received as part of a workers' compensation claim are typically non-taxable under federal law. However, if the individual returns to work in a light-duty capacity, the payments he receives, in addition to his salary, are still considered part of his compensation for the purposes of taxes.

In this scenario, since Perry is receiving salary payments while performing light duties, the entirety of those salary payments remains taxable. Therefore, the correct choice is that 100% of Perry's salary payments is taxable when he performs light duties. This reflects the understanding that while workers' compensation payments are not taxed, regular salary earned from working—even in a light capacity—does incur tax obligations.