If the water had to be soften, then it's normal to find in the ingredients list a chelating agent as it is such agent (compound) that does the softening. EDTA is an example of a popular chelating agent.
To cycle your tank, I don't see any problem using what you got at walmart. The goal is to get ammonia that is not mixed with surfactants ( bubbling agent if you will ) and/or perfume. Oh, and by the way, ammonia is a gas. You can find it in 2 other forms (or state) : liquid or crystals. Ammonia is very toxic at high concentration and will burn your skin/tissues if exposed to it. Domestic ammonia is not highly concentrated but still use caution when "playing" with it.
Sponge
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