The Topaz Donegal International Rally was cancelled for the day at the end of the 11th stage when a car left the road killing a spectator, writes RTÉ Sports John Kenny.
The organisers, the Donegal Motor Clubs, called an immediate halt to the event calling the remaining cars and drivers back to Parc Ferme, temporarily ending the fifth round of the Global Group Irish Tarmac Rally Championship.
The organisers say it has been cancelled for today and decision has not yet been made as to whether it will proceed tomorrow. A statement is due this evening.
According to reports an 18-year-old man was hit by a car which was taking part in the rally at around 3.30pm.
It happened at Ballyarr, about four miles from Letterkenny. The young man was pronounced dead at the scene which was preserved for technical examination.
It's the second time that the top event in the Irish Rallying calendar has been abandoned as in 2002, on stage two the Citroen Saxo of Seamus Gallagher and John McCafferty left the road, killing two marshals and injuring a photographer.
On that occasion George Clark and Gerry McKenna, both 22-year-old marshals died at the scene of the accident.
Before the tragedy Eugene Donnelly had opened up a near 20-second lead in his Skoda Fabia from the Ford Focus of Kevin Lynch.