Horizontal banding exported form Photo AI 3.0.4

After exporting CR£ raw file back to LRc from Photo AI I am getting banding on the tiff file. It is most noticeable when increasing shadow detail.
Further to above if I use “file, Plug-in extras, process with Photo AI” the banding doesn’t happen.

Steps to reproduce issue:

  1. Step 1 - Export raw file from LRC to photo ai
  2. Step 2 - Process image in Photo AI, autopilot settings
  3. Step 3 - export back to LRc and increase shadow detail. Banding appears as horizontal lines and square blocks. Very strange.

Topaz Photo AI [v3.0.4] on [Windows 11]

Would you mind sending in some more information to get a better understanding of the problem you are having with this particular type of image? Please send the following information:

  1. The original image file.
  2. The processed image.
  3. A screenshot or description of the settings panel so I can see what adjustments were turned on.

You can securely submit your image(s) to my Dropbox using the link below.

Dropbox File Request

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Same issue when using the denoise enhancement.
Lines and squares appear even in the preview, visible especially on the [very] dark areas.
Noticable with the “normal” AI model, unnoticable with the “strong” AI model.
It does not matter if using the CPU or the GPU.

Using version 3.1.2 on Windows 11, AMD Ryzen 7 5800X 8-Core Processor, 64 GB RAM, AMD Radeon RX 6400 GPU.

Hopefully you can see the lines and squares in screenshot from the preview:

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