diff --git a/module/zfs/zfs_ioctl.c b/module/zfs/zfs_ioctl.c
index 6b9b43271..259d68c47 100644
--- a/module/zfs/zfs_ioctl.c
+++ b/module/zfs/zfs_ioctl.c
@@ -4875,6 +4875,11 @@ extract_delay_props(nvlist_t *props)
 	static const zfs_prop_t delayable[] = {
 		ZFS_PROP_REFQUOTA,
 		ZFS_PROP_KEYLOCATION,
+		/*
+		 * Setting ZFS_PROP_SHARESMB requires the objset type to be
+		 * known, which is not possible prior to receipt of raw sends.
+		 */
+		ZFS_PROP_SHARESMB,
 		0
 	};
 	int i;
@@ -4938,6 +4943,7 @@ zfs_ioc_recv_impl(char *tofs, char *tosnap, char *origin, nvlist_t *recvprops,
 	offset_t off, noff;
 	nvlist_t *local_delayprops = NULL;
 	nvlist_t *recv_delayprops = NULL;
+	nvlist_t *inherited_delayprops = NULL;
 	nvlist_t *origprops = NULL; /* existing properties */
 	nvlist_t *origrecvd = NULL; /* existing received properties */
 	boolean_t first_recvd_props = B_FALSE;
@@ -5052,6 +5058,7 @@ zfs_ioc_recv_impl(char *tofs, char *tosnap, char *origin, nvlist_t *recvprops,
 		local_delayprops = extract_delay_props(oprops);
 		(void) zfs_set_prop_nvlist(tofs, ZPROP_SRC_LOCAL,
 		    oprops, *errors);
+		inherited_delayprops = extract_delay_props(xprops);
 		(void) zfs_set_prop_nvlist(tofs, ZPROP_SRC_INHERITED,
 		    xprops, *errors);
 
@@ -5109,6 +5116,10 @@ zfs_ioc_recv_impl(char *tofs, char *tosnap, char *origin, nvlist_t *recvprops,
 			(void) zfs_set_prop_nvlist(tofs, ZPROP_SRC_LOCAL,
 			    local_delayprops, *errors);
 		}
+		if (inherited_delayprops != NULL && error == 0) {
+			(void) zfs_set_prop_nvlist(tofs, ZPROP_SRC_INHERITED,
+			    inherited_delayprops, *errors);
+		}
 	}
 
 	/*
@@ -5128,6 +5139,10 @@ zfs_ioc_recv_impl(char *tofs, char *tosnap, char *origin, nvlist_t *recvprops,
 		ASSERT(nvlist_merge(localprops, local_delayprops, 0) == 0);
 		nvlist_free(local_delayprops);
 	}
+	if (inherited_delayprops != NULL) {
+		ASSERT(nvlist_merge(localprops, inherited_delayprops, 0) == 0);
+		nvlist_free(inherited_delayprops);
+	}
 	*read_bytes = off - noff;
 
 #ifdef	ZFS_DEBUG
diff --git a/tests/zfs-tests/tests/functional/rsend/send_encrypted_props.ksh b/tests/zfs-tests/tests/functional/rsend/send_encrypted_props.ksh
index 793904db9..c0c7b682d 100755
--- a/tests/zfs-tests/tests/functional/rsend/send_encrypted_props.ksh
+++ b/tests/zfs-tests/tests/functional/rsend/send_encrypted_props.ksh
@@ -133,6 +133,14 @@ recv_cksum=$(md5digest /$ds/$TESTFILE0)
 log_must test "$recv_cksum" == "$cksum"
 log_must zfs destroy -r $ds
 
+# Test that we can override sharesmb property for encrypted raw stream.
+log_note "Must be able to override sharesmb property for encrypted raw stream"
+ds=$TESTPOOL/recv
+log_must eval "zfs send -w $esnap > $sendfile"
+log_must eval "zfs recv -o sharesmb=on $ds < $sendfile"
+log_must test "$(get_prop 'sharesmb' $ds)" == "on"
+log_must zfs destroy -r $ds
+
 # Test that we can override encryption properties on a properties stream
 # of an unencrypted dataset, turning it into an encryption root.
 log_note "Must be able to receive stream with props as encryption root"