We describe a design approach, Tangible Augmented Reality, for developing face-to-face collaborative Augmented Reality (AR) interfaces. Tangible Augmented Reality combines Augmented Reality techniques with Tangible User Interface elements to create interfaces in which users can interact with spatial data as easily as real objects. Tangible AR interfaces remove the separation between the real and virtual worlds and so enhance natural face-to-face communication. We present several examples of Tangible AR interfaces and results from a user study that compares communication in a collaborative AR interface to more traditional approaches. We find that in a collaborative AR interface people use behaviors that are more similar to unmediated face-to-face collaboration than in a projection screen interface.