Transcriptional regulation of the human c-myc gene, an important aspect of cellular differentiation, occurs in part at the level of transcript elongation. In vivo, transcriptional arrest, due to either pausing or termination, occurs near the junction between the first exon and first intron and varies with the growth state of the cell. We have tested the transcription of c-myc templates in HeLa nuclear extracts. We did not observe significant arrest under standard conditions, but we found that a considerable fraction of transcription complexes stopped at the c-myc TII site (just past the first exon-intron junction) when the KCI concentration was raised to 400 mM during elongation. Transcriptional arrest at TII also was observed at KCI concentrations as low as 130 mM and when potassium acetate or potassium glutamate was substituted for KCI. Under these conditions, arrest occurred at the T1I site when transcription was initiated at either the c-myc P2 promoter or the adenovirus 2 major late promoter. Further, the TII sequence itself, in forward but not reverse orientation, was sufficient to stop transcription in a HeLa nuclear extract. By separating the TII RNA from active transcription complexes by using gel filtration, we found that arrest at TII at 400 mM KCI resulted in transcript release and thus true transcriptional termination. The efficiency of termination at TII depended on the growth state of the celHs from which the extracts were made, suggesting that some factor or factors control premature termination in c-myc.