The squad for the ODI series, which begins against Pakistan on December 30, will feature Virender Sehwag and was named on the day Sachin Tendulkar announced his retirement from 50-over cricket.
Pace bowler Zaheer Khan has been left out along with spin duo of Pragyan Ojha and Rahul Sharma.
Also missing are all-rounder Irfan Pathan, fast bowler Umesh Yadav and middle-order batsman Manoj Tiwary because of injury. Yuvraj has been called up along with Ravindra Jadeja, Bhuvneshwar Kumar, Ishant Sharma, Shami Ahmed and Amit Mishra.
Yuvraj, who starred in the recently drawn Twenty20 series with England, was expected to make the ODI squad along with Jadeja and Ishant, but the inclusion of all-rounder Bhuvneshwar, seamer Shami and leg-spinner Mishra has come as a surprise.
There had been doubts over Sehwag's inclusion as he is not expected to play in the 2015 World Cup but the decision to drop Zaheer is not a major shock as he is focused on the Test series against Australia in February.
However, with the agreement of coach Duncan Fletcher and captain Mahendra Singh Dhoni he could play some part in the ODI series against England which begins on January 11.
There are no changes to the Twenty20 squad from the drawn series against England to face Pakistan which begins on December 25 in Bangalore.
India T20 squad: Mahendra Singh Dhoni (capt), Gautam Gambhir, Ajinkya Rahane, Yuvraj Singh, Rohit Sharma, Suresh Raina, Virat Kohli, Ravindra Jadeja, R Ashwin, Ashok Dinda, Ishant Sharma, Bhuvneshwar Kumar, Parvinder Awana, Piyush Chawla, Ambati Rayudu.
India ODI squad: Mahendra Singh Dhoni (capt), Virender Sehwag, Gautam Gambhir, Virat Kohli, Yuvraj Singh, Rohit Sharma, Suresh Raina, Ravindra Jadeja, R Ashwin, Ishant Sharma, Ajinkya Rahane, Ashok Dinda, Bhuvneshwar Kumar, Shami Ahmed, Amit Mishra.