Paul Hogan denies he paid the tax office tens of millions of dollars to end a long-running battle over his tax affairs.
Australian Taxation Office Commissioner Chris Jordan hinted on Tuesday the entertainer had paid tens of millions of dollars to avoid a criminal prosecution.
This has infuriated the US-based Hogan who insists he did no such thing.
"I certainly didn't pay them tens of millions so they would, just like, let me go without sending me to jail," he told Sydney radio 2GB on Tuesday night.
"I'd have been quite happy to go to court."
Hogan announced in 2012 he had settled the case "without admission".
The ATO had pursued the Crocodile Dundee star for almost a decade, alleging he owed $150 million in back taxes, penalties and interest and that he'd used offshore tax havens.
No charges were ever brought and Hogan has consistently denied any wrongdoing.
At a Senate committee hearing in Canberra, Mr Jordon told MPs "if people aren't taken to court and charged it doesn't mean substantial amounts of money weren't paid to settle issues".
"Sometimes substantial amounts, in the tens of millions, are paid, and that covers the liability," he said when asked about Hogan's dealings with the ATO.
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