The 28-year-old spent 18-months at the Valley after joining from Liverpool, where he spent seven years following his move from his first club Crewe Alexandra in 1997.
Murphy, who has won eight England caps, has been a reliable source of goals from midfield over the course of his career, scoring 27 times for Crewe, 44 for Liverpool and 10 during his time at Charlton.
The Chester-born player is acknowledged to be one of the finest passers in the English game, an intelligent midfield player with the ability to unlock defences.
"Danny is an experienced player who is used to playing at the highest level. He has a fantastic ability to create chances and we are delighted that we have been able to bring him to the Club," commented Damien Comolli, Sporting Director.
Danny Murphy, speaking at the ClubÃ¢â‚¬â„¢s Training Ground this evening said, "Spurs has always been a club that has attracted me, but whereas previously things didnÃ¢â‚¬â„¢t work out, this time they have and I am absolutely delighted. I am looking forward to playing my part in the team Martin Jol is building."
Danny Murphy has joined the Club from Charlton Athletic.