The 38-year-old actress worked with the superstar to prepare for her singing role in Country Strong, and said that she was blown away by Beyonce's stage presence.
Paltrow told Harper's Bazaar, 'She has so much mastery over what she does. It's not even confidence - it's on a whole other level. It's mind-blowing.
'I watched her [perform] a lot to see how she did it, and I was like, 'S**t, I can't do that!''
She added that her performance of Country Strong's title track at the Country Music Awards in 2010 was one of the most nerve-wracking moments of her life.
'Two weeks before I did it, I was dying. I couldn't sleep. I couldn't eat,' she said. 'I was like, 'Why would I say yes to this? What is wrong with me? What kind of maniac would agree to do this?'
'It was one of those nights I'll look back on and think, 'Wow, I can't believe I actually pulled that off'.'