Family Forest Conservation Act of 1997

Family Forest Conservation Act of 1997 - Amends the Internal Revenue Code to allow an executor to irrevocably elect to exclude from the gross estate the value of any qualified conservation easement regarding any qualified forest land.

(Sec. 3) Provides, if the executor elects and with the consent of each interested person, for the valuation of forest land that, at the decedent's death, constituted at least 25 percent of the decedent's estate and had been used for conservation or timber operations for five of the last eight years. Imposes an additional estate tax if the devisee or heir, within 25 years or the devisee's or heir's lifetime, disposes of any interest in the land or ceases to use it for a qualified use. Sets forth special rules for involuntary conversions and provides for the treatment of forest land exchanges.

(Sec. 4) Excludes from gross income any gain from the sale or exchange of qualified forest land to a qualified organization for conservation purposes.