40-80ppm is not a problem for many fish, not saying its great having it that level, but its not really an issue unless you got a particularly sensitive species, most fish can become remarkably adaptable to high nitrate,
40-60 certainly isnt an issue in my book
You're correct but it's 0ppm out of his/her tapwater which then means there is a problem somewhere if it's 80ppm later in the tank.