You can get Iodine crystals from Ebay. Make sure the crystals are ACS grade purity. Ebay is allowed to sell up to 250 grams of Iodine crystals per sale.
When people have made IODINE this way in the past they open the window for good ventilation or even better yet go outside and they keep their face away from the glass container as they pour the crystals into the glass of alcohol. It will completely dissolve in 5 to 15 minutes. They even wear safety goggles too.
Instructions on what quantities of alcohol and crystals to use to make 5% iodine is here on curezone and other places on the web. And I have never liked the crystals that look like BB's.