Sally, age $60,$ is getting a divorce from her doctor husband AI$,$ age $60.$ As part of the divorce, Sally has a QDRO dividing Al's qualified plan and as a written instrument in the divorce an order to divide his IRA into two equal separate accounts for each of them. Assuming that Sally takes an immediate distribution from each account at the time of the divorce, which of the following occurs? QDRO Distribution $/$ IRA Distribution

A$.$ Not Taxable$/$Taxable and $10\%$ penalty

B$.$ Taxable, but no penalty$/$Taxable$,$ but no penalty

C$.$ Taxable, but no penalty$/$Taxable and $10\%$ penalty

D$.$ Not taxable and no penalty$/$Taxable$,$ but no penalty