Starc has left the Australian camp with the blessing of coach Justin Langer after being informed of an unspecified family illness.
“We will give Mitch all the time he needs and welcome him back into the squad with open arms whenever he feels the time is right for him and his family,” said Langer.
His withdrawal is the latest change to Australia‘s limited-overs squad in the past week with David Warner and Ashton Agar both out injured, while pace spearhead Pat Cummins is being rested.
Opening batsmen D’Arcy Short and spinners Mitch Swepson and Nathan Lyon have been added to the squad.
India won the opening Twenty20 international on Friday in Canberra by 11 runs, with the second match later Sunday in Sydney and the final match of three on Wednesday.
The first of four Tests starts on December 17 in Adelaide.