Abilities » Upside-Down Evolution Can I put Inkay into play, confuse it somehow, and use its "Upside-Down Evolution" Ability all on the same turn? Yes, you may. Source: TPCi Rules Team (2014-02-06)
Abilities » Upside-Down Evolution If I use Inkay's "Upside-Down Evolution" Ability, does it remain Confused after evolving? No, it does not. The phrase "this counts as evolving this Pokemon" refers to evolution rules that remove Special Conditions on that Pokemon. Source: XY FAQ (2014-02-06), TPCi Rules Team (2014-02-06)