American Health Benefits Program Act of 2005

American Health Benefits Program Act of 2005 - Amends the Social Security Act (SSA) to establish under a new title XXII (American Health Benefits Program) a program to provide comprehensive health insurance coverage to all Americans who are: (1) not covered under certain federal health insurance programs; and (2) not eligible for employer-provided insurance coverage. Requires provision of such coverage in a manner similar to that in which coverage has been provided to Members of Congress, federal government employees, retirees, and their dependents under the Federal Employees Health Benefits Program.

Establishes in the Treasury an American Health Benefits Program Trust Fund.

Amends the Internal Revenue Code to: (1) impose on every employer an excise tax equal to the applicable percentage of the wages paid employees; and (2) allow a tax credit to certain individuals equal to the sum of the aggregate amount of premiums paid (other than government contributions) with respect to the individual's coverage, and the applicable premium subsidy for any eligible individual.

Amends SSA title XIX (Medicaid) to provide for an increase in the federal Medicaid assistance percentage (FMAP) for American Health Benefits Program-covered services.

Terminates the State Children's Health Insurance Program (SCHIP) under SSA title XXI upon the initiation of the American Health Benefits Program.