@gshrikhande Since you made changes to the OOTB UI Action by marking it as inactive, it will still be skipped from the upgrade. However, it will be a lot easier for you to update it to the latest version as you have not made any changes in the OOTB UI Action (except changing the active flag). You can always fix skipped records by merging them with the latest changes from the Upgrade center. 

Hope this answers your question.