diff --git a/grails-demo/web-app/WEB-INF/granule.properties b/grails-demo/web-app/WEB-INF/granule.properties
index 164ff79..152fb12 100644
--- a/grails-demo/web-app/WEB-INF/granule.properties
+++ b/grails-demo/web-app/WEB-INF/granule.properties
@@ -54,4 +54,8 @@ closure-compiler.add-path=js/closure-samples/
 
 keepfirstcommentpath=js/dojo/*,js/superslider/slider.js,js/jquery*.js
 
+#If set to true, JS and CSS files are returned after gzip compression
+#By default, this is set to true. 
+#If server is already configured to gzip response for some reasons, then set this flag to false to avoid double gzip compression.
+gzip.output=true
 
diff --git a/jsp-demo/web/WEB-INF/granule.properties b/jsp-demo/web/WEB-INF/granule.properties
index dabcf54..bd7953e 100644
--- a/jsp-demo/web/WEB-INF/granule.properties
+++ b/jsp-demo/web/WEB-INF/granule.properties
@@ -60,4 +60,9 @@ keepfirstcommentpath=js/dojo/*,js/superslider/slider.js,js/jquery*.js
 
 # contextroot - the constant context root of web-applications. 
 # It need to be setup right for ant cache precompiling if there are hard-coded URLs in the pages
-contextroot=web
\ No newline at end of file
+contextroot=web
+
+#If set to true, JS and CSS files are returned after gzip compression
+#By default, this is set to true. 
+#If server is already configured to gzip response for some reasons, then set this flag to false to avoid double gzip compression.
+gzip.output=true
\ No newline at end of file
diff --git a/tag-main/src/com/granule/CompressorHandler.java b/tag-main/src/com/granule/CompressorHandler.java
index 23c702e..fad0af2 100644
--- a/tag-main/src/com/granule/CompressorHandler.java
+++ b/tag-main/src/com/granule/CompressorHandler.java
@@ -53,7 +53,7 @@ public void handle(HttpServletRequest request, HttpServletResponse response, Str
             
             OutputStream os = response.getOutputStream();
             try {
-                if (gzipSupported(request)) {
+                if (settings.isGzipOutput() && gzipSupported(request)) {
                     response.setHeader("Content-Encoding", "gzip");
                     os.write(bundle.getBundleValue());
                 } else
diff --git a/tag-main/src/com/granule/CompressorSettings.java b/tag-main/src/com/granule/CompressorSettings.java
index c8c4436..2d7b19f 100644
--- a/tag-main/src/com/granule/CompressorSettings.java
+++ b/tag-main/src/com/granule/CompressorSettings.java
@@ -50,6 +50,7 @@ public class CompressorSettings {
     private String tagName = DEFAULT_TAG_NAME;
     private String contextRoot = null;
 	private String basePath = null;
+	private boolean gzipOutput = true;
 
     public static final String NONE_VALUE = "none";
     public static final String CLOSURE_COMPILER_VALUE = "closure-compiler";
@@ -88,6 +89,7 @@ public class CompressorSettings {
     public static final String DEFAULT_TAG_NAME = "g:compress";
     public static final String CONTEXTROOT_KEY = "contextroot";
     public static final String BASEPATH_KEY = "basepath";
+    public static final String GZIP_OUTPUT_KEY = "gzip.output";
 
     public String getJsCompressMethod() {
         return jsCompressMethod;
@@ -131,6 +133,20 @@ public String getOutputWrapperMarker() {
 
     public String getTagName() {
         return tagName;
+    }   
+
+    /**
+     * @return Returns the gzipOutput.
+     */
+    public boolean isGzipOutput() {
+        return gzipOutput;
+    }
+
+    /**
+     * @param gzipOutput The gzipOutput to set.
+     */
+    public void setGzipOutput(boolean gzipOutput) {
+        this.gzipOutput = gzipOutput;
     }
 
     public void load(Utf8Properties props) throws IOException {
@@ -229,6 +245,10 @@ public void load(Utf8Properties props) throws IOException {
         
         if (props.containsKey(CONTEXTROOT_KEY))
         	contextRoot = props.getProperty(CONTEXTROOT_KEY);
+        
+        if(props.containsKey(GZIP_OUTPUT_KEY)){
+            gzipOutput = getBoolean(props.getProperty(GZIP_OUTPUT_KEY), gzipOutput);
+        }
     }
 
     private void readFileListProperty(Utf8Properties props, String settingName, List<String> list) throws IOException {
diff --git a/tag-main/src/com/granule/utils/CSSHandler.java b/tag-main/src/com/granule/utils/CSSHandler.java
index 57d4a62..203c15e 100644
--- a/tag-main/src/com/granule/utils/CSSHandler.java
+++ b/tag-main/src/com/granule/utils/CSSHandler.java
@@ -39,7 +39,7 @@
 public final class CSSHandler {
     private static final String stringLiteralRegex = "(\"(?:\\.|[^\\\"])*\"|'(?:\\.|[^\\'])*')";
     private static final String urlRegex = String.format(
-            "(?:url\\(\\s*(%s|[^)]*)\\s*\\))", stringLiteralRegex);
+            "(?:url\\(\\s*(?!\\s*\\'\\/)(?!\\s*\\\"\\/)(?!\\s*\\/)(%s|[^)]*)\\s*\\))", stringLiteralRegex);
     private static final String importRegex = String.format(
             "(?:@import\\s+(%s|%s))", urlRegex, stringLiteralRegex);