The Economic Team received 2 million from the largest tobacco company after seeking to raise taxes on low-cost brands.

The complex investigation carried out by the Mossos d'Esquadra has revealed, as reflected in the report on the alleged illegal activities of the Economic Team, that several legislative reforms approved during Mariano Rajoy's government regarding cigarette taxes coincide with payments from major tobacco companies such as Philip Morris (2 million euros) to the firm founded by former Finance Minister Cristóbal Montoro.

The "network of influence," at the top of which Montoro allegedly sits, which pushed through legislative changes—in exchange for "significant payments"—is not limited to favoring gas companies. The investigation has revealed that the "organization" allegedly trafficked in other reforms and regulations affecting other sectors such as banking, renewable energy, gambling, public procurement, and temporary employment agencies.

The alleged favorable treatment of large tobacco companies is another of the ramifications under scrutiny. Among the measures introduced by Mariano Rajoy's government during the years of cuts was an increase in taxes on tobacco. Investigators have detected payments made by Philip Morris, the world's largest tobacco company, amounting to €2.04 million between 2011 and 2018, years coinciding with the approval of regulations that introduced changes to the excise taxes on tobacco products.

The investigation, as highlighted by the Mossos in their report to which La Vanguardia has had access, has revealed that some of these legislative changes were led in years in which payments were made to Equipo Económico "indicatively in response" to the demands that the major tobacco companies - Philip Morris, British American Tobacco, Altadis and Japan Tobacco International - also made to the then Secretary of State for the Treasury, Miguel Ferré Navarrete, also charged in the case.

"Once again, the investigation into favorable tax reforms has led to the actions of Ferré, as well as those of other heads of the Ministry of Finance," who piloted reforms in the area of excise taxes, such as Diego Martín Abril and Pilar Jurado, both of whom are being investigated along with the rest of the Ministry's leadership.

In a detailed analysis, the Mossos d'Esquadra (Catalan police) reflect what the tobacco companies were demanding, comparing it with the changes implemented in that sector, always coinciding with payments to the Economic Team. They demanded a proportional reduction in the rate to compensate for the increase in the general VAT rate. Between March 2012 and December 2017, the various changes reduced this rate from 57% to 51%.

In another case, tobacco companies were requesting a change in the minimum tax rate. Researchers highlight that, starting in December 2012, a double minimum tax was introduced, increasing the minimum tax for products below a certain price threshold. This rate penalized low-cost brands, which had increased their market share in 2012. The Court of Justice of the European Union ruled that the double minimum tax is contrary to EU directives.