diff --git a/src/snowflake/cli/api/rest_api.py b/src/snowflake/cli/api/rest_api.py
index ae829645b8..0125d51428 100644
--- a/src/snowflake/cli/api/rest_api.py
+++ b/src/snowflake/cli/api/rest_api.py
@@ -155,8 +155,9 @@ def determine_url_for_create_query(
             raise SchemaNotDefinedException(
                 "Schema not defined in connection. Please try again with `--schema` flag."
             )
-        if not self._schema_exists(db_name=db, schema_name=schema):
-            raise SchemaNotExistsException(f"Schema '{schema}' does not exist.")
+        # temporarily disable this check due to an issue on server side: SNOW-1747450
+        # if not self._schema_exists(db_name=db, schema_name=schema):
+        #     raise SchemaNotExistsException(f"Schema '{schema}' does not exist.")
         if self.get_endpoint_exists(
             url := f"{SF_REST_API_URL_PREFIX}/databases/{self.conn.database}/schemas/{self.conn.schema}/{plural_object_type}/"
         ):
diff --git a/tests_integration/test_object.py b/tests_integration/test_object.py
index a7d2a57bee..3eb89383c3 100644
--- a/tests_integration/test_object.py
+++ b/tests_integration/test_object.py
@@ -313,6 +313,7 @@ def test_create_error_database_not_exist(runner):
 
 
 @pytest.mark.integration
+@pytest.mark.skip(reason="Server-side issue: SNOW-1855040")
 def test_create_error_schema_not_exist(runner, test_database):
     # schema does not exist
     result = runner.invoke_with_connection(