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Bert's Catch: "The officer on the box is wrong. Rebs didn't use epalettes to distinguish rank. It's on their collars. This fellow has both."
I think you guys are actually talking about what are called Officer's Shoulder Boards, Bars, or Straps. At least one of Strelets' Confederate Officers has Shoulder Boards. Apparently Epaulettes were for dress occasions.
I think this detail is a really good catch by you, Bert, as I've gone my entire life not really knowing any of these things. Personally, I'm not cutting anything off any of my my figures since many of the Confederates just wore the U.S. uniforms at the beginning of the war. But you're right, if the jacket is gray, the shoulders should be bare. However I do miss the Chevrons on the upper sleeves of some of the superiors, or the Sleeve Badges. The separate Mounted C.S.A. Commanders set does have some really nice ones though.
Below is a link to a Color Plate showing various ways the U.S. and C.S.A. Officers distinguished rank: