The concept of reducing free formaldehyde in textile finishing was investigated with a nitrogen containing heterocyclic compound as a scavenger with dimethyol-4, 5-dihydroxyethylene urea crosslinking agent for treating cellulosic fabric. The study was carried out to find the potential and useful properties of this scavenger in various states of finishing. Also, the scavenger reaction with the residual formaldehyde formed during curing was proved. Experiments with the heterocyclic compound treatment showed that the formaldehyde level was decreased to about lower than 400ppm compared to about 900ppm in a regular treatment without scavenger.