§ 1254. Duty to collect taxes. (a) Every person required to collect
tax, as defined in section eleven hundred thirty-one, who is required to
collect any state tax imposed under sections eleven hundred five, eleven
hundred six or eleven hundred ten, shall at the same time collect any
applicable tax imposed by a city, county or school district under the
authority of sections twelve hundred ten, twelve hundred eleven, twelve
hundred twelve or twelve hundred twelve-A, and where the state tax is a
retail sales tax, shall also collect any compensating use tax which may
be applicable as provided in sections twelve hundred thirteen or twelve
hundred fourteen.

(b) Where the state of New York, any of its agencies,
instrumentalities, public corporations (including a public corporation
created pursuant to agreement or compact with another state or Canada)
or political subdivisions sells services or property of a kind
ordinarily sold by private persons it shall be considered a vendor for
purposes of the taxes imposed under the authority of sections twelve
hundred ten, twelve hundred eleven, twelve hundred twelve and twelve
hundred twelve-A and shall be required to collect the taxes imposed by
cities, counties and school districts under the authority of such
sections.