Microstructure, mechanical properties, and oxidation resistance of TiAIN thin films deposited on quenched and tempered STD61 tool steel by arc ion plating were studied using XRD, XPS and micro-balance. The TiAIN film was grown with the (200) orientation. The grain size of TiAIN thin film decreased with increasing Al contents, while chemical binding energy increased with Al contents. When hard coating films were oxidized at $850^{circ}C$ in air, oxidation resistance of both TiN and TiCN films became relatively lower since the surface of films formed non-protective film such as $TiO_2$. However, oxidation resistance of TiAIN film was excellent because its surface formed protective layer such as $_A12$$O_3$ and $_Al2$$Ti_{7}$$O_{15}$, which suppressed oxygen intrusion.