It would be kind of nice if there was such a thing as permissioned mosaics. Like if you made a list of people that could or could not have the mosaic. I figured out a pretty simply way around it.
Right now when I make a mosaic and I make the levy a non-transferable token then I get this error.
But what if I made a levy with my address as the payout. Then I made the next mosaic with that levy. Now anybody transferring that newly minted mosaic would have had to had some of my levy mosaic; a mosaic I alone control. So I can send that levy mosaic to people and as they make transactions a small amount of token would be sent back to me each time. Since the levy in question is being transferred back to the account that created it via the levy transaction, it can still be thought of as non-transferable.
So I think we should allow mosaics to have a non-transferable levy if that levy is also created by the same person and the payout address for the levy is the address of the creator of that token.