Question about Sharingon? (Naruto)?

Way back in the beginning of naruto Lee challenged saskue to a match.. and what i can remember, saskue activated his sharingon and lee still kicked his but because lee mentioned that sharingon cant see through Tai Jutsu. But later on Naruto Fought saskue in that big fight and when saskue activated his sharingon, he could see all of narutos punches and kicks and was blocking them... So my question is, Can Sharingon see through taijutsu? and if so what are the sharingons abilities?