I use it for lacquered pieces, both shellac and rattle can lacquers can be smoothed off with the YG, it looks finished at a quick glance, but a close inspection will reveal micro scratches still, theses are best removed with the chestnut burnishing cream which gives a superior finish to the grit types. Also, because you are cutting a lacquered finish, there is no problem with the wax content as the coating protects the wood, however, you need to take care not to be heavy handed and cut right through to the wood, that could cause a problem.
I use the YG to take out small marks and generally smooth out the finish, then switch to the cream.