N.Y. Tax Law § 698
All taxes, interest and penalties collected or received by the commissioner under this article shall be deposited and disposed of pursuant to the provisions of section one hundred seventy-one-a of this chapter. Notwithstanding the foregoing, unemployment insurance contributions and payments and aggregate withholding taxes collected or received by the commissioner from employers in a single remittance accompanying the quarterly combined withholding, wage reporting and unemployment insurance returns required by paragraph four of subsection (a) of section six hundred seventy-four of this article shall, if necessary, be deposited into an account to be maintained jointly by the department and the department of labor at such responsible bank, banking house or trust company as may be designated by the comptroller. The comptroller shall require adequate security from such depository. Such departments shall determine the proper allocation of the monies in such account as between unemployment insurance contributions and payments and aggregate withholding taxes. Unemployment insurance contributions and payments shall then be deposited and disposed of pursuant to the provisions of title four of article eighteen of the labor law, and aggregate withholding taxes shall be deposited and disposed of pursuant to the provisions of sections one hundred seventy-one-a, thirteen hundred thirteen and thirteen hundred thirty-three of this chapter, as applicable.
N.Y. Tax Law § 698