<h1>Opposition Leaders Back Fewer GST Rate Slabs, Lower Mass-Consumption Rates, Five-Year Compensation and Transfer of Excess Levies</h1> Eight opposition-ruled states have backed reducing the number of GST rate slabs and cutting rates on mass-consumption items, while insisting on a mechanism to ensure savings are passed to consumers. They seek five years of compensation to all states using 2024-25 as the base year to offset revenue losses, and request that additional levies on sin and luxury goods beyond a proposed 40% be fully transferred to states, noting the Centre currently retains roughly 17-18% of revenue via cesses. Citing supportive research from a central finance institute, they also call for a GST 2.0 focused on rate simplification, procedural ease for MSMEs, and protections for state revenues within cooperative federalism.