The Paradise Papers have revealed the CBA’s failed attempt at making money off music royalties.

Of the many revelations from the leak of millions of documents from the tax haven legal firm, it has emerged that in 2008 the Commonwealth Bank's fund manager launched the First State Media Works Fund with a 25,000-song catalogue.

It was lauded at the time as “the world's first dedicated music royalties fund”.

By late 2014, the new documents reveal CBA’s original $40 million investment had crashed to less than a 10th of its initial value.

The limited partnership fund was built out a complex structure of component companies based in low-tax destinations of Ireland and Jersey, where firm enjoy 0 per cent tax rates.

The fund was set up to benefit from rights payments from its catalogue of artists being used on radio and in advertisements.

By late 2009, had already begun to struggle.

“The partnership has witnessed difficulty in fundraising over the last 12 months given unprecedented market conditions,” a letter from the Jersey management company to the Commonwealth Bank said.

The pain was compounded by the fact that the value in music rights declined faster than expected.

It had some success within its extensive playlist, with top performers (monetarily) including The Trammps’ Disco Inferno, and the John Denver songs Take Me Home Country Road and Leaving on a Jet Plane.

The revelation of CBA’s investments funnelled through tax havens have added to existing criticisms of the bank.

It has responded by pointing out it is Australia's largest corporate taxpayer, paying $3.9 billion in taxes to federal, state and local governments last financial year.

“The Commonwealth Bank's tax governance policy requires that we act with the highest integrity in complying with all prevailing tax laws and only enter into transactions with clear business value, before taking into account any tax consequences,” Commonwealth Bank said in a statement this week.

“The bank does not and will not promote any arrangement or transaction entered into or carried out with the sole or dominant purpose of paying less tax or receiving increased tax offsets and has processes to ensure it is not party to schemes that have a sole or dominant purpose to evade or avoid tax.”