The wording of Rare Candy is now as follows, "Choose 1 of your Basic Pokémon in play. If you have a Stage 2 card in your hand that evolves from that Pokémon, put that card on the Basic Pokémon. (This counts as evolving that Pokémon.) You can't use this card during your first turn or on a Basic Pokémon that was put into play this turn." So now it can't be used on your first turn, and it can't be used on a Pokémon played this turn.
Source: TPCi Announcement (2011-04-11), PUI Rules Team (2011-05-05)
Can I use Rare Candy on a Scatterbug the first turn of the game or the turn that Scatterbug is played, since "Adaptive Evolution" says it can evolve in those cases?
No, you can't use Rare Candy to evolve in either of those conditions because the text on Rare Candy specifically prevents it.
Source: Scarlet & Violet FAQ; TPCi Rules Team (2023-03-30)
Could you Rare Candy a Pokémon and NOT play an evolution on it just to get rid of the Rare Candy?
No, you cannot discard a card for free. You must be able to attach the Stage 2 card, or you cannot use the Rare Candy.
Source: PUI Rules Team (2003-10-30), PUI Rules Team (2003-12-04)
Does Rare Candy override evolution-preventing effects such as Archeops' "Ancient Power" Ability?
Ancient Power does not allow you to use a Pokemon's attack or play a Trainer card to evolve your Benched or Active Pokemon, unless the Evolution card you would be putting into play comes from somewhere other than your hand. So Rare Candy cannot be used while Archeops' Ancient Power Ability is in effect.
Source: Noble Victories FAQ (2011-11-17), PUI Rules Team (2011-11-17), PUI Rules Team (2011-11-21)
Can I use Rare Candy on a Pokémon that has already evolved normally that turn?
No you cannot, because Rare Candy can only evolve Basic Pokémon If you evolved a Pokémon already this turn, it would not be a Basic any more.
Source: PUI Rules Team (2003-10-23)
Can I use Rare Candy on a Pokémon that was devolved on that same turn (i.e. Devolution Spray, Hyper Devolution Spray, etc.)?
No, you cannot. A Pokemon must be in play since the beginning of the turn in which you are using Rare Candy. A devolved Pokemon counts as just coming into play.
Source: PUI Rules Team (2004-06-03), PUI Rules Team (2004-06-09)
Can I use Rare Candy on a Pokémon's first turn in play? For example, can I place down a Wurmple and then use Rare Candy on the same turn to evolve it into Dustox or Beautifly?
No, this is no longer permissible [per BW rules changes].
Source: PUI Rules Team (2003-09-11), PUI Rules Team (2004-07-22), PUI Rules Team (2011-04-11), PUI Rules Team (2011-05-05)
Can I use Rare Candy to evolve from Dome Fossil to one of the Kabutops from older expansions that evolve from Mysterious Fossil?
Since Kabutops can evolve from Kabuto of any expansion, you may use Rare Candy to evolve either Dome Fossil or Mysterious Fossil into any Kabutops, regardless of expansion.
Source: PUI Rules Team (2008-05-22)
Can you use Rare Candy to evolve a Mysterious Fossil into an Omastar or Kabutops, or use it on a Root/Claw Fossil to evolve into Cradily/Armaldo?
It can. It counts as a basic Pokémon while in play. Omastar, Kabutops, Cradily, and Armaldo are Stage 2 Pokémon; you could use Rare Candy on the Fossil trainer to skip to them.
Source: PUI Rules Team (2003-10-16)
Does Rare Candy override evolution-preventing effects such as Fossil Aerodactyl's "Prehistoric Power"?
Yes, you can use Rare Candy when Aerodactyl's Prehistoric Power is in play.
Source: PUI Rules Team (2003-09-18), PUI Rules Team (2004-07-22)