<h1>Opposition accuses central government of coercive federalism for diverting GST compensation cess and central levies, undermining state fiscal autonomy</h1> An opposition party alleges the central government is engaging in 'coercive federalism' by centralising fiscal powers and undermining state autonomy, citing a CAG report that state debt rose from Rs 17.57 lakh crore (2013-14) to Rs 59.60 lakh crore (2022-23). The complaint targets retention and use of GST compensation cess and central levies, contending the cess-originally for state compensation-has been diverted to repay central loans despite the statutory compensation period ending in June 2022, and that further unilateral collection would bypass the Consolidated Fund and reduce Finance Commission devolution. The party urges statutory or contractual protection to restore states' fiscal rights.