Veteran Leander Paes and singles exponent Somdev Devvarman were not considered after they made themselves unavailable for the tie, scheduled for Sept 14-16 in Chandigarh.
It will be a new-look Indian team with Yuki Bhambri, Vishnu Vardhan, Saketh Myneni, Divij Sharan, Sanam Singh and Sri Ram Balaji chosen in the squad.
While Paes wants to play in the World Team Tennis competition in US, Somdev is still not fit enough for the Davis Cup tie.
The national body left out veteran Bhupathi and big serving Bopanna from the squad to send out a message that any kind of indiscipline will not be tolerated.
Bhupathi and Bopanna had created a big drama ahead of the London Games when they refused to play with Paes and insisted on being paired together for the men's doubles event.
Their challenge fell in the quarterfinals as none of the Indian pair returned with a medal from the Games.
The AITA had to agree to their demands but had indicated that the matter was not closed and wielded the axe today.
India would strive to stay in Asia/Oceania Group I when they play the Kiwis in Chandigarh. The loser of the play-off tie will be relegated to Group II.
The last time India played New Zealand was in 2004 when it had triumphed in the away tie 3-2.
The head-to-head record is tied 3-3 for the two teams.