Conservative party chairman Grant Shapps did continue to pursue his business interests for a short time after he became an MP in 2005, the party has accepted for the first time.
Mr Shapps has previously insisted that his writing career - under the pen name Michael Green - ended when he took up his seat in the House of Commons.
In a tweet, he said: "Old story. All properly declared at the time".
Labour said David Cameron should launch an inquiry to establish the facts.
There are no rules banning MPs from having other sources of employment, but they do have to declare any paid employment outside Parliament.
Under the Commons Code of Conduct they must not act as a "paid advocate" - for example take payment for speaking in the House or ask a parliamentary question.
Grant Shapps had a career as a web marketeer and writer before becoming an MP.
He used the pseudonym Michael Green, which he made clear on the company's website and in the Parliamentary register of members interest.
'Completely transparent'BBC political correspondent Ben Wright said all that was known, but in interviews Mr Shapps had previously insisted he had never had a second job once he became an MP.
"Now, the Guardian newspaper has discovered what it says is a recording of a sales pitch made in the summer of 2006 - a year after Mr Shapps entered Parliament," he said.
In the recording, according to the Guardian, Grant Shapps, using his Michael Green pen name, says he will be running his "mentoring programme" to hire staff and produce software to create websites.
Labour said it "beggared belief" that Mr Shapps stated in an interview three weeks ago that he was not doing business as Michael Green while he was an MP.
The Conservative Party said that assertion was made in the "cut and thrust of an interview". The party said in fact Mr Shapps's writing career ended shortly after he became an MP.
A spokesman said: "Like many authors and journalists, Grant wrote with a pen name. This was completely transparent: his full name and biographical details were permanently published on the company's main website."
'Semantics'In a tweet, Grant Shapps said: "Old story. All properly declared at the time and all many years ago. Labour just hate business".
A Conservative Party source told the BBC that Mr Shapps earned minimal income from the business and was in the process of winding up the company after he was elected.
Dismissing the row as "semantics", he said that Mr Shapps had declared the business in the Register of Members' Financial Interests in 2006 - after he was elected.
Though Mr Shapps had chosen to repeatedly deny having a second job, the source said Mr Shapps may not have regarded it as "a second job".
The source said: "It turns on the semantics of what constitutes a second job."
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