I offer one more alternative. Double the tax every year, and once the ip holder decides not to pay the tax, IP is released to public domain. No compnay has money to keep IP indefinitely in such a scheme.
Instead of doubling every year, my proposal is 5-year terms: the first is free, then $1000 for the next 5, $10k for the next 5, $100k for the next 5, etc. Feel free to adjust the actual dollar amounts, but you get the idea. Most stuff would be in the public domain after 10 years, if not 5.
Congratulations on the massive net loss in taxable income in your country.
EDIT: Removed some mean words.
You don't see how such a policy would spur terror among large, profitable companies with trade secrets, leading to them moving overseas?
If this is the only real problem, than why not just let them go overseas? Let the market play it out? The boon of progress and freedom X country would get from becoming even little more rational about IP would pay for itself and be better for actual people.
That's what China has been doing for decades, and "gongkai" [1] is just one tiny part of it. While life for the average Chinese citizen has gone up - the CCP managed to lift hundreds of millions of people out of poverty - the life of most Western populations has gone down the drain as entire industries, entire towns were unable to cope with unfair competition.
The societal consequences of that will haunt us all for many years to come.
Companies are going to want to sell in one of the richest markets in the world; they can either pay for IP protection or not be granted it.
edit: I'm not suggesting these exact $ values as clearly being the correct ones, it's just an example.