An internally toothed honing stone which is dressed by means of a high precision ground diamond plated gear is used in a new hard gear finishing process. In Europe this process has found wide acceptance- The process is capable of removing hardening distortion, handling damage and nicks and burrs from hardened helical gears and spur gears. It also permits flank corrections in the direction of the helix and profile. A surface finish with CLA values down to 8 microinch can be obtained. Not only external gears can be honed on the process specific equipment but also internal gears.