The thinner and clear-up solvent you should use with shellac is denatured alcohol. This is ethanol, the same alcohol that is included in beer, wine and liquors. But it is made poisonous so it can be sold without liquor taxes.
Sometimes you’ll see methanol (methyl alcohol) sold in paint stores. Methanol works fine for thinning shellac, but it is quite toxic if you are around it for a long time breathing the vapors. So it isn’t a good idea to use methanol unless you are working with a good exhaust.
Isopropyl rubbing alcohol is no good for thinning shellac because it contains about 30% water. The water will cause the shellac to turn white, or “blush.” If you have access to 95-to-100 percent pure propanol or isopropyl alcohol, you could use it for thinning without a problem.
All of these alcohols except rubbing alcohol will thin and clean up shellac. The difference among them is evaporation rate. Methanol evaporates the quickest. Denatured alcohol is next. And propanol and isopropyl alcohol are the slowest.