To search for Tidal Dwarf Galaxies (TDGs) and to study star formation (SF) in tidal features, we are conducting a large UV imaging survey of interacting galaxies selected from the Arp (1996) Atlas using the Galaxy Evolution Explorer (GALEX) telescope. As part of that study, we present a GALEX UV and Sloan Digital Sky Survey and SARA optical study of the gas-rich interacting galaxy pair Arp 305 (NGC 4016/7). The GALEX UV data reveal much extended diffuse UV emission and SF outside the disks. This includes a luminous star-forming region between the two galaxies, and a number of such regions in tidal tails. We have identified 45 young star-forming clumps in Arp 305, including several TDG candidates. By comparing the UV and optical colors to population synthesis models, we determined that the clumps are very young, with several having ages ∼6 Myr. We do not find many intermediate age clumps in spite of the fact that the last closest encounter was about 300 Myr ago. We have used a smooth particle hydrodynamics code to model the interaction and determine the fate of the star clusters and candidate TDGs.