"Let It Go" has been nominated for best original song, along with "Happy" from "Despicable Me 2," "Ordinary Love" from "Mandela: Long Walk to Freedom" and "The Moon Song" from "Her."
It will be the first time the song is performed for a global television audience, producers said in a statement. Menzel joined voice cast members Kristen Bell and Josh Gad in Beverly Hills on Sunday night for a live performance of the "Frozen" tunes.
The soundtrack for "Frozen" has topped the Billboard chart for the past several weeks, selling more than 850,000 copies.
"Frozen" is also nominated in the best animated feature film category.
Menzel won a Tony Award for her performance as Elphaba in "Wicked" and was also nominated for a Tony for her Broadway performance in "Rent."
The Oscars will air live on ABC7 from the Dolby Theatre in Hollywood on March 2.