The only thing I read about this form of Iodine is that it is typically used externally. http://en.wikipedia.org/wiki/Povidone-iodine But now I read that it can be used as a mouthwash and they state that the Iodine will absorb via mucosa
"Povidone Iodine appears to have no significant plaque inhibitory activity when used as 1% mouth wash and the absorption of significant levels of iodine through the oral mucosal may make this compound for prolonged use in the oral cavity. It could cause problem of iodine sensitivity in sensitized individuals."