Now for a genuine “exclusive” from the Fin today on the controversial company tax cut. Yesterday, we pointed out the AFR recycled arguments in favour of the tax cut from Chris Murphy — who conducted economic modelling in favour of the tax cut for federal Treasury — which The Australian first ran in early June. And the AFR had the hide to call the story on Thursday, on page 1, “exclusive”. In that story, the AFR mentioned how former PM and treasurer Paul Keating had cut the company tax rate.

But once again the AFR has failed the most basic test of advocacy when it comes to Australia’s most recent economic past: be careful not to raise the ire of the world’s great Treasurer (no, not Wayne Swan). He is quick to defend his record and legacy and this time it was no different, firing a letter to the editor of the AFR, which the paper then turned into a story (yes, “exclusive”) on the top of page 7 today, which was fleshed out with carefully selected “experts” to dilute Keating’s message.

Keating’s letter was short, straight to the point and undermined the modelling arguments by Murphy (and the Prime Minister and Treasurer) and the AFR’s selective arguments in favour of the cut — but Keating’s letter also contained a small mistake, of sorts:

“The AFR has embarked upon this campaign in collusion with the Business Council of Australia, in the council’s camouflaged attempt to reduce the rate of company tax on foreign shareholdings. The AFR must be alone among national financial newspapers in urging so massive an impost on the national fiscal balance.”

The AFR is not the only paper in urging a huge burden on the country’s finances; the Murdoch clan papers, led by The Australian, are vocal supporters of the tax cut and have ignored the burden (which is, how are we going to pay for it over the full 10 years?). But he is not wrong in lumping the AFR in with the Business Council of Australia (and companies like Wesfarmers, which is like the BCA in exile in Perth).