(3)[ Where any proceeding has been taken against any person under sub-section (1), any statement made or account or other document produced by such person before any of the income-tax authorities specified in] [ Inserted by Act 1 of 1965, Section 5 (w.e.f. 12.3.1965).] [clauses (a) to (g)] [ Substituted by Act 4 of 1988, Section 126, for " clauses (a), (b), (c), (d) and (e)" (w.e.f. 1.4.1989).][of section 116 shall not be inadmissible as evidence for the purpose of such proceedings merely on the ground that such statement was made or such account or other document was produced in the belief that the penalty imposable would be reduced or waived, ] [ Inserted by Act 1 of 1965, Section 5 (w.e.f. 12.3.1965).] [under section 273-A] [ Substituted by Act 41 of 1975, Section 71, for " under sub-Section (4-A) of section 271" (w.e.f. 1.10.1975).][or that the offence in respect of which such proceeding was taken would be compounded.] [ Inserted by Act 1 of 1965, Section 5 (w.e.f. 12.3.1965).][Explanation. - For the removal of doubts, it is hereby declared that the power of the Board to issue orders, instructions, or directions under this Act shall include and shall be deemed always to have included the power to issue instructions or directions (including instructions or directions to obtain the previous approval of the Board) to other income-tax authorities for the proper composition of offences under this section.] [ Inserted by Act 49 of 1991, Section 70 (w.r.e.f. 1.4.1962).]
