Fixed Asset

Any expenditure on material alterations of factory having impact in the form of - increasing production capacity by increasing floor space - increasing life of factory building - increasing revenue generating capacity in any mode can only be capitalised to the building costs. Others ought to be expensed.

Any such amt. is treated as capital if it has an effect which extends to more than one yr. and that which increases the production capacity of the asset.

yes you can do cpitalise subject to said expenditure resulting increasing life of asset.