Prosecution to be at the instance of Chief Commissioner or Commissioner
246. (1) A person shall not be proceeded against for an offence under sections 230 to 241 except with the previous sanction of the Commissioner or Commissioner (Appeals).
(2) The Chief Commissioner may issue such instruction, or direction, to the aforesaid income-tax authorities as he may deem fit for institution of proceeding under this sub-section.
(3) The Chief Commissioner may compound, either before or after the institution of proceeding, an offence under this Chapter at the prescribed rates.
(4) The Board may issue order, instruction or direction (including instruction or direction to obtain the previous approval of the Board) to any income-tax authority for the proper composition of offences under this section.
(5) An offence in relation to which a punishment has been awarded by a court shall not be compounded.
(6) Any statement made, or account or other document produced, by a person before any income-tax authority, other than an Inspector, shall be admissible as evidence for the purpose of any proceeding which has been taken against the person under sub-section (1), regardless of the fact that the offence in respect of which such proceeding was taken would be compounded.
