Police in New York are investigating the murder of Sarah McNally, an Irish bartender who was stabbed to death in an Irish pub in Queens.

McNally, 41, who is originally from Co Longford in Ireland, was stabbed in the neck while working at The Céilí House in Maspeth at around 6:30 pm on Saturday, March 30. 

Police pronounced McNally dead at the scene and also observed a man with stab wounds to his neck and back.

It is widely reported that the man stabbed McNally before turning the knife on himself. CBS reports that the incident was domestic in nature. 

A spokesperson for the NYPD said the investigation remains ongoing. 

A number of Maspeth residents and The Céilí House customers were in shock on Sunday as news broke of McNally's murder. 

Maspeth resident James O'Malley discovered that McNally had died after visiting the Céilí House on Sunday and told CBS that he couldn't believe the news. 

"I seen her Wednesday night and, wow, can't believe it," O'Malley told CBS. 

He described McNally as a "very friendly person" who always made time for a chat. 

Fellow Maspeth resident Carlos Rodriguez described McNally as "down to earth" and the "life of the party". 

Councillor Martin Monaghan, Cathairleach (Chairperson) of the Longford Municipal District, told RTÉ News that the Longford community is in a state of shock following McNally's death. 

"She would’ve been an integral part of Longford life [before moving to New York] having worked in bars in Longford," Monaghan told RTÉ News. 

He added that McNally's family are "really, really decent Longford people". 

"It’s very cruel. People struggle to say the right words at this time and there’s little anyone can say to make things better for Sarah's parents," Monaghan said. 

"Our thoughts and prayers are with them at this time and a tragedy away from home makes things an awful lot worse."