Skill devlopment allowance

Section 10(14)(i) of the Act allows an exemption in respect of any special benefits or allowances granted by employer to the extent to which such expenses are actually incurred for that purpose. According to Rule 2BB(1) 

(e) any allowance granted for encouraging the academic, research and training pursuits in educational and research institutions is exempt if spent fully.

As per the case:

Income Tax Appellate Tribunal – Mumbai: Madanlal Mohanlal Narang vs Assistant Commissioner Of Income ... on 21 April, 2006

The ruling is that “As far educational allowance is concerned, Rule 2BB(1)(e) provides that any allowance granted for encouraging the academic research and training pursuits in educational and research institutions is eligible for exemption under Section 10(14)(i). But then, the assessee is working a ship and it cannot be said that the allowance was granted to him for "encouraging the academic research and training pursuits in educational and research institutions". In our humble understanding, an academic or research allowance could be eligible for exemption under Section 10(14)(i) r/w Rule 2BB only when "academic research and training pursuits" are in educational and research institutions.”

Madam,

I understood that persons who are working in academic and research institution are eligible for the educational allowance. Hope my view is right. Please clarify.