Protecting Kids from Candy-Flavored Drugs Act of 2017 This bill amends the Controlled Substances Act to prohibit any person from manufacturing, creating, distributing, dispensing, or possessing with intent to distribute a schedule I or II controlled substance that is combined with a candy or beverage product, marketed or packaged to appear similar to a candy or beverage product, or modified by flavoring or coloring to appear similar to a candy or beverage product. Such individual must know or have reasonable cause to believe that the controlled substance will be distributed, dispensed, or sold to a person under 18 years of age. The bill imposes enhanced criminal penalties for such violations in addition to the penalty for the underlying offense. The bill exempts any controlled substance that: (1) has been approved by the Department of Health and Human Services under the drug approval process if the contents, marketing, and packaging of the controlled substance have not been altered from the approved form; or (2) has been altered at the direction of a practitioner who is acting for a legitimate medical purpose in the usual course of professional practice. The bill directs the U.S. Sentencing Commission to amend and review its guidelines and policy statements to ensure that the guidelines provide for a penalty enhancement of not less than two offense levels for a violation of this bill.