Countries that tax income usually use one of two regimes: territorial or residential. In the territorial system, only local income – income from a source within the country – is taxed. In the housing system, residents of the country are taxed on their global income (local and foreign), while non-residents are taxed only on their local income. In addition, a very small number of countries, especially the United States, also tax their non-resident nationals on global income. The taxable income of taxpayers established in the jurisdiction is generally the total income less the income generated by expenses and other deductions. As a general rule, only the net profit from the sale of real estate, including property held for sale, is included in income. .