Yes, in reality NH4OH simply does not exist. When NH3 is dissolved in water, you simply get NH4+ ions, OH- ions, and dissolved NH3 molecules. At no point in time does NH4OH form. Instead, you get the NH3 molecules attaching to a free H+ forming NH4+ and leaving OH- behind in solution. Because of LeChatellier's principle, this causes more water to break apart into H+ and OH- ions allowing more NH4+ to form until an overall equillibrium is reached.
It's a shame that in schools they still teach people that ammonia solutions are NH4OH because that simply isn't true. NH4OH just does not exist. Think about what the structure of it would be. You'd have to have five bonds with a central nitrogen atom in order for it to exist and that simply just won't happen.