Exact same problem as original poster with a four month old PP256s. Everything works beautifully on it except for low amp AC TIG. Once it gets above 20-30 or so amps it smooths right out and the welds are top notch. I have used two different torches (9 and 26), lanthanated and ceriated tunstens, and several different pieces of Al to practice on. Same results. Tungsten shape has no effect. All pieces of stock were thoroughly cleaned with SS brush and acetone. Ground clamped directly to piece.
This is exactly what it acts like:
https://www.youtube.com/watch?v=r54KHm18pMM Skip to 3:07. Does it at start up of the arc, as well as when tapering off. You can hear the HF points buzzing when this happens.