The poster wrote $18,000 tax free not $180,000 tax free which is correct. As an individual you get your first $18,000 tax free then start to pay tax in brackets on top of that but split 4-5 or more ways you get the first $18,000 tax free x 4, 5 or whatever as well as keeping distributed income in lower tax brackets until each individual reaches the top bracket of $180,000 plus.
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