Asset Capitalization

ERPNext
,
1

:jigsaw: Problem Statement: Multi Asset Capitalization Not Working for Composite Assets

Version

ERPNext: v15 (latest build as of Oct 2025)
Frappe Framework: v15

Summary

After submitting an initial Asset Capitalization for a composite asset, the system prevents any further capitalization of the same asset

This effectively blocks real-world use cases where an organization adds new components or enhancements to an already capitalized composite asset over time.

Steps to Reproduce

  1. Enable Capital Work in Progress Accounting under Accounts → Asset Settings.
  2. Create a new Asset Category and mark it as Composite Asset = Yes.
  3. Create a new Asset under this category .
  • Example: Building A or Pump Station #1.
  1. Create the first Asset Capitalization with Target Asset = Building A and submit.
  • The asset value updates correctly.
  1. After a few months, create a second Asset Capitalization for the same Target Asset (Building A).
  2. Try to save or submit the document.

Expected Behavior

ERPNext should allow multiple capitalizations on the same composite asset:

  • Each capitalization should debit the same asset account.
  • Total asset value should increase cumulatively.
  • The “Connections” tab should list all related capitalizations.

Actual Behavior

The second Asset Capitalization fails validation with one of the following:

Target Asset {asset_name} cannot be submitted

even though:

  • The asset is composite.
  • The first capitalization already succeeded.
  • The asset status is Submitted (Active).

Impact

  • Prevents organizations from performing incremental capitalization over time.
  • Breaks the core composite asset functionality described in ERPNext documentation.
  • Blocks accounting accuracy for construction-in-progress or multi-phase asset builds.
2

Hi @zubairamini

Composite Asset can be capitalized against any stock, service or asset item multiple times up until you submit it and that is then it is counted as mature Asset.

Before submission, It stays with Work In Progress status (infact as Draft) until you finish capitalizing everything and declare it as finalized asset to be ready for its own depreciation accounting.

3

Hi @ahsantareen
But when asset submitted and i want to add new extra asset or stock item or service item to it then what?