‘‘(A) 25 percent or more of the adjusted
value of the gross estate consists of the ad-
justed value of real property which meets the
requirements of this paragraph,
‘‘(B) during the 8-year period ending on
the date of the decedent’s death there have
been periods aggregating 5 years or more dur-
ing which the real property was used for a
qualified forest use, and
‘‘(C) such real property is designated in
the agreement referred to in subsection (d)(2).
‘‘(2) QUALIFIED FOREST USE.—For purposes
of this section, the term ‘qualified forest use’ means
the devotion of the property to—
‘‘(A) use for a conservation purpose, as de-
fined in section 170(h)(4)(A) (determined with-
out regard to clause (iv) thereof), or
‘‘(B) use in timber operations.
‘‘(3) 
REQUIREMENTS
FOR
QUALIFIED
FORESTLAND.—Real property meets the require-
ments of this paragraph if such real property—
‘‘(A) qualifies for a differential use value
assessment program for forestland in the State
in which the property is located; or
‘‘(B) if a State has no differential use
value assessment program—
‘‘(i) is forestland,
‘‘(ii) is a minimum of 10 acres, exclu-
sive of a dwelling unit or other non-forest
related structure and its curtilage; and
‘‘(iii) is subject to a forest manage-
ment plan.
‘‘(c) TAX TREATMENT OF DISPOSITIONS AND FAIL-
URES TO USE AS QUALIFIED FOREST USE.—
‘‘(1) IMPOSITION OF ADDITIONAL ESTATE TAX
(RECAPTURE).—
‘‘(A) IN
GENERAL.—If, within 25 years
after the decedent’s death and before the death
of the qualified devisee or qualified heir—
‘‘(i) the qualified devisee or qualified
heir disposes of any interest in qualified
forestland,
‘‘(ii) the qualified devisee or qualified
heir ceases to use for a qualified forest use
(whether or not the qualified forest use
under which the property qualified, under
subsection (b), as qualified forestland) the
qualified forestland which was acquired (or
passed) from the decedent for an aggre-
gated period of 3 years out of any 8-year
period, or
‘‘(iii) any depreciable improvements
are made to the property, other than those
relating to any qualified forest use,
then there is hereby imposed an additional es-
tate tax.
‘‘(B) 
EXCEPTIONS.—Subparagraph 
(A)
shall not apply to—
‘‘(i) a testamentary disposition that it-
self qualifies for special valuation under
this section,
‘‘(ii) a disposition by a qualified heir
to any other person who agrees to continue
devoting the heir’s interest to any qualified
forest use and signs the agreement in sub-
section (d)(2) (such person shall thereafter
be treated as a qualified devisee with re-
spect to such interest),
‘‘(iii) a disposition by a qualified devi-
see to a qualified heir of such devisee who
agrees to continue devoting the devisee’s
interest to any qualified forest use and
signs the agreement in subsection (d)(2)
(such heir shall thereafter be treated as a
qualified devisee with respect to such inter-
est),
‘‘(iv) a disposition of timber used in a
timber operation; and
‘‘(v) a disposition (other than by sale)
of a qualified conservation contribution (as
defined in section 170(h)).
‘‘(2) AMOUNT
OF
ADDITIONAL
TAX.—The
amount of the additional tax imposed by paragraph
(1)(A) with respect to any interest shall be the
amount equal to the lesser of—
‘‘(A) the adjusted tax difference with re-
spect to the estate (within the meaning of sec-
tion 2032A(c)(2)(C), determined by substitut-
ing ‘section 2032B’ for ‘subsection (a)’), or
‘‘(B) the amount realized from the disposi-
tion of the interest.
‘‘(3) ONLY
ONE
ADDITIONAL
TAX
IMPOSED
WITH RESPECT TO ANY ONE PORTION.—In the case
of an interest acquired from (or passing from) any
decedent, if a particular clause of paragraph (1)(A)
applies to any portion of an interest, no other clause
of such paragraph shall apply with respect to the
same portion of such interest.
‘‘(d) ELECTION; AGREEMENT.—