surprise but overall Bermuda has responded well to the 1995/96 budget, says Finance Minister the Hon. David Saul.

"It was an interesting Budget, the Opposition found it difficult to argue with it because most of the positions taken on taxes were close to their hearts,'' he said.

The challenge for the 1995/96 Budget was to generate revenue with the knowledge that multi-million dollar costs associated with the return of the Base lands were looming, especially the running of the Airport.

"The end result is Government need to raise $35 million -- $23 million to run the airport alone,'' he said.

Much to the consternation of the Island's professionals, facing a new tax and new professional fee, the Minister of Finance targeted this group as a source of revenue.

According to Dr. Saul, professionals not only benefit from the expansion of international business but also have the luxury of protectionist legislation which permits them to conduct business here.

Like people who buy licences to use the roads, it is time professionals paid Government for the law which protects them, according to Dr. Saul.

Dr. Saul also promised that he will keep a watching brief on a controversial corporate services fee, which was amended after being announced in the February Budget. The Corporate Services Tax Act, with a four percent tax on gross receipts, is expected to raise $2.9 million, and was passed in the House of Assembly earlier this week.

Businesses providing corporate services to exempted companies will be paying the fee.

This is an area where a significant amount of money is being generated and these businesses have profited "untouched for years'', he commented.

"We will watch what happens and amendments are certainly possible,'' he added.

Dr. Saul cautioned businesses against seeking ways to avoid this four percent tax.

"I hope firms do not do that because it could be self-defeating. If they play that game I will not be able to do a proper review. If we see that that tax is a genuine burden we would be prepared to amend it.

"Businesses would not be acting as good corporate citizens if they go to other locations,'' he added.

Of another "creative'' budget measure -- a fee to be paid to Government by professional associations for each member -- Dr. Saul estimated revenue of $1 million.

The fee's range from $50 to $2,500 per individual.

"All the groups affected are protected by legislation. They have come to me with alternative suggestions and I am listening,'' he said.

Legislation on that fee is to come into affect in January 1996.

Government takes less that 20 percent of Gross Domestic Product to run Bermuda and has a surplus in its current account, an amount envied the world over, Dr.

Saul added.

The last of this year's budget's legislation was passed on Wednesday in the House of Assembly.

Dr. Saul, who plans to bring down at least a few more budgets, said it was not the easiest of his seven Budgets, nor the most difficult.