diff --git a/tests/common/plugins/conditional_mark/tests_mark_conditions.yaml b/tests/common/plugins/conditional_mark/tests_mark_conditions.yaml
index 315c1e204a6..88108c8fb16 100644
--- a/tests/common/plugins/conditional_mark/tests_mark_conditions.yaml
+++ b/tests/common/plugins/conditional_mark/tests_mark_conditions.yaml
@@ -250,17 +250,20 @@ decap/test_decap.py::test_decap[ttl=pipe, dscp=pipe, vxlan=set_unset]:
 
 decap/test_decap.py::test_decap[ttl=pipe, dscp=uniform, vxlan=disable]:
   skip:
-    reason: "Not supported on backend , broadcom before 202012 release and innovium, x86_64-8111_32eh_o-r0 platform"
+    conditions_logical_operator: or
+    reason: "Not supported on backend, broadcom before 202012 release, innovium and x86_64-8111_32eh_o-r0 platform. Skip 7260CX3 T1 topo in 202305 release"
     conditions:
       - "(topo_name in ['t1-backend', 't0-backend']) or (asic_type in ['broadcom'] and release in ['201811', '201911']) or asic_type in ['innovium'] or platform in ['x86_64-8111_32eh_o-r0']"
+      - "'7260CX3' in hwsku and release in ['202305'] and 't1' in topo_type"
 
 decap/test_decap.py::test_decap[ttl=pipe, dscp=uniform, vxlan=set_unset]:
   skip:
-    reason: "Not supported on backend, T2 topologies , broadcom platforms before 202012 release and innovium, x86_64-8111_32eh_o-r0 platform. Skip on mellanox dualtor setups for github issue #9646"
+    reason: "Not supported on backend, T2 topologies , broadcom platforms before 202012 release, innovium, x86_64-8111_32eh_o-r0 platform. Skip on mellanox dualtor setups for github issue #9646. Skip on 7260CX3 T1 topo in 202305 release"
     conditions_logical_operator: or
     conditions:
       - "('t2' in topo_name) or (topo_name in ['t1-backend', 't0-backend']) or (asic_type in ['broadcom'] and release in ['201811', '201911']) or asic_type in ['innovium'] or platform in ['x86_64-8111_32eh_o-r0']"
       - "https://github.com/sonic-net/sonic-mgmt/issues/9646 and 'dualtor' in topo_name and asic_type in ['mellanox']"
+      - "'7260CX3' in hwsku and release in ['202305'] and 't1' in topo_type"
 
 decap/test_decap.py::test_decap[ttl=uniform, dscp=pipe, vxlan=disable]:
   skip: