Under GST law, compensation cess is applicable on:

The compensation cess is a temporary measure that is expected to be in place for five years. After five years, the cess will be abolished and the states will be compensated for any revenue loss through other means.

Here is a brief explanation of each option:

• Option A: Luxury articles and demerit goods. Luxury articles are goods that are considered to be non-essential and are often used for conspicuous consumption. Demerit goods are goods that are considered to be harmful to society, such as tobacco and alcohol. Compensation cess is not levied on luxury articles and demerit goods.
• Option B: All goods. Compensation cess is not levied on all goods. It is only levied on certain goods, such as petroleum products and alcohol.
• Option C: Petroleum products and Alcohol. Compensation cess is levied on petroleum products and alcohol. The cess is levied at a rate of 2% on petroleum products and 1% on alcohol.
• Option D: Consumer goods. Compensation cess is not levied on consumer goods. It is only levied on certain goods, such as petroleum products and alcohol.