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whenever you put a label on something in Photoshop no matter how much you push in and push out it absolutely sucks around curved edges instead press Ctrl or command T right click on the graphic and choose warp go to the warp drop down at the top and choose this brand new preset cylinder adjust the graphic as a cylinder make sure everything is aligning properly curved properly and once youre satisfied hit enter and set the blend mode in this case it would be multiply have a look how naturally its curved around the corners which would otherwise be impossible