Prime Minister Malcolm Turnbull is heard impersonating Donald Trump and making fun of their testy first phone call in extraordinary leaked audio from a swish off-the-record gala.

In remarks almost certain to infuriate the U.S. President, Mr Turnbull can be heard roasting the 'leader of the free world' and his Russia scandal at the Mid-Winter Ball in Canberra on Wednesday evening.

Joking about their infamous phone call earlier this year - where Mr Trump was said to have abruptly cut him off - Mr Turnbull said: 'It was beautiful, it was the most beautiful putting-me-at-ease ever'.

He then riffed about how he and Mr Trump were 'winning' in the polls - 'real' online polls, rather than the 'fake polls'.

'I have this Russian guy,' Mr Turnbull quipped, to roars of laughter.

In video leaked to the Nine Network's Laurie Oakes (pictured) Malcolm Turnbull can be heard impersonating the US president, joking that online polls are 'real polls' and quipping: 'I know this Russian guy'!

Great mates? Malcolm Turnbull and US President Donald Trump have had a testy relationship since the Republican swept into office in January - but the pair appeared to kiss and make up at a meeting in New York in May (pictured)

'This is the worst call so far': In a phone call with Australia's prime minister in January (pictured), US President Donald Trump abruptly cut off Malcolm Turnbull - furious about a refugee deal the nation had struck with his predecessor Barack Obama

The annual event is attended by hundreds of media and politicians on the basis that nothing is for publication.

The audio was leaked to press gallery veteran Laurie Oakes - who does not attend the dinner and 'does not believe reporting should be banned at events hosted by journalists'.

In his routine, Mr Turnbull poked fun at the two leaders' approval ratings.

'The Donald and I, we are winning and winning in the polls... We are winning so much! We are winning like we have never won before! We are winning in the polls - we are! We are!

'Not the fake polls! Not the fake polls! They're the ones we're not winning in. We're winning in the REAL polls, you know, the ONLINE polls! They are so easy to win!

'I know that. I know that. Did you know that? They are so easy to win... I have this Russian guy... Believe me, it's true, it is true.'

The prime minister appeared to be mimicking many of the US president's verbal tics.

But Mr Turnbull has since brushed off his comments as a 'good humoured roast' which were meant to only 'poke fun'.

‘Well it is a great tradition, it’s a big charity fundraiser, they raised nearly 400k – it is a good humoured roast really,' he told 3aw.

'The Prime Minister and Leader of the Opposition give a speech and poke fun. My speech was affectionately light hearted.'

He also expressed disappointment the audio had been leaked and says next year he might just read 'selected passages from the budget paper'.

‘It’s a breach of protocol, it’s a breach of faith and all those things but it’s light-hearted, good-natured… and the butt off all jokes was myself,' he added.

Prime minister Malcolm Turnbull is pictured with his wife, Lucy, earlier in the evening at the Midwinter Ball in Canberra

All his friends and enemies were at the ball: Bill Shorten was in attendance with his wife Chloe (pictured left) and Julie Bishop with her partner David Panton (right)

The incredible spray came after Mr Trump reportedly cut off Mr Turnbull during their first, 25-minute call earlier this year.

'This was the worst phone call so far,' Mr Trump said, according to an account published by the Washington Post.

Mr Trump was said to be furious about a refugee deal Mr Turnbull's government had struck with his predecessor, Barack Obama - the 'worst deal ever'.

But the US government has pledged to uphold the agreement to resettle up 1250 asylum seekers from Manus Island.

Australia is one of the United States' staunchest allies.