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The IPL did not specify the exact incident for which he was penalised but it is understood the Jamaican was penalised for throwing his bat away in disgust after getting out for 99 at the Sheikh Zayed Stadium on Friday night.
The Kings XI Punjab batsman has admitted to the offence and accepted the sanction.
Requiring a run to complete his century, Gayle was cleaned up by a Jofra Archer yorker in KXIP”s last over and reacting to his dismissal, he tried to hit his bat on the ground in frustration but the willow slipped from his hand and landed a few metres across the pitch.
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“Mr Gayle admitted to the Level 1 offence 2.2 of the IPL”s Code of Conduct and accepted the sanction.
“For Level 1 breaches of the Code of Conduct, the Match Referee”s decision is final and binding,” it added.
The 41-year-old smashed eight sixes and six fours on the way to becoming the first player to score 1000 maximums in T20 cricket.
However, Gayle”s blazing effort went in vain as Rajasthan Royals secured a seven-wicket victory.