Section 80EEA

Great question! The difference between the Income Tax Section text and the Finance Bill Memorandum (also called the Explanatory Memorandum) often causes confusion. Here's a clear explanation:

1. What is the Finance Bill Memorandum?

The Finance Bill Memorandum is the government’s explanatory note or commentary that accompanies the Finance Bill.
It explains the intent, background, and rationale behind amendments or new provisions introduced in the Bill.
It does not have legal force itself; it guides interpretation but the actual law is the text of the Section enacted in the Income Tax Act.

2. What is the Income Tax Section?

The Income Tax Section (e.g., Section 80EEA) is the actual law enacted by Parliament and notified in the Income Tax Act.
The legal provisions, conditions, and effective dates are what matter for compliance and eligibility.
Only what is specifically mentioned in the Section text or read with the relevant rules applies legally.

3. Regarding your example – Section 80EEA and affordable housing

The memorandum states: "Definition will be effective for affordable real estate projects approved on or after 1 September 2019."
However, if Section 80EEA itself does not mention this approval date condition explicitly, then legally, the section does not impose this condition unless specified elsewhere in rules or notifications.
Usually, the effective date or eligibility conditions are either in the Section itself or in the corresponding Rules issued by CBDT.

4. Can a person claim Section 80EEA benefit for a house bought in 2020 but project approved in July 2018?

If the Section or Rules do not limit eligibility to projects approved only after 1 Sept 2019, then yes, the person can claim the deduction.
However, if CBDT rules or notifications explicitly limit the benefit to projects approved on or after 1 Sept 2019, then the earlier project approval date may disqualify the claim.
The Finance Bill Memorandum alone cannot override the legal text or Rules but serves as guidance on the government's intent.

Summary

Item	Role	Effect
Finance Bill Memorandum	Explanatory document, not law	Helps interpret intent, no legal force
Income Tax Section (80EEA)	Legal provision, part of Income Tax Act	Binding law, governs eligibility and conditions
Rules/Notifications	Detailed conditions & clarifications	Supplement and clarify law; binding

Recommendation:

Always check Section 80EEA text + CBDT Rules/Notifications for final conditions.
The memorandum is a helpful guide but not the law itself.
For your case, check if any Rules or CBDT circulars mention the "project approval date" condition explicitly.