Are you wanting to co-witness your red dot with the iron sights? This is difficult to do with the Vz58 iron sights, as low as they are, especially with a straight line butt stock.
I would be concerned with the structural integrity of the top rail if it?s been cut like that and had a steel section added (I assume riveted or screwed to the aluminum top rail). Also, the aluminum and steel pieces will not expand at the same rate when heated while shooting, which could be a problem.
I?ve pondered this problem myself. Since nobody I know sells a taller front sight base for the Vz, if you?re going to fabricate something, it occurs to me that the solution would be to cut the front sight tower in half and then insert / weld a section of steel (say a square nut or two) of appropriate size and width between the two halfs of the sight tower to get the fsb high enough to co-witness with the red dot, where ever it is mounted on the rifle. If you could raise the front sight tower by 1/4" to 1/2" that would seem to be enough to co-witness most red dot sights.