Yeah I know what you mean by “cutting”. It’s all perspective. So, from what I’ve gathered the 32.1” MT’s will fit but only with at least 3/4” spacers. I’m not a fan of spacers. I’ve already replaced both front hubs. Easy, but not wanting to do it again. The upper control arms sit close to the tires with OEM offsets causing the sidewalls to rub on most larger tires. I’ve heard nothing but great things about the KO2 so it looks like my route.
I can speak to the KO2 being a good tire on other vehicles, so I don't think you'll be disappointed by any means. I've run them on three trucks and was very pleased. Two out of those three had less noise deadening and such than the lurf, and one was maybe even - all worked great. Plus, even though we shouldn't care what our tires look like, we care what our tires look like - the KO2s look pretty badass. Especially on something as sophisticated yet tough as an LR4. You'll definitely dig 'em.
There's no reason to fear wheel spacers, though. At least no reason to fear a spacer any more than a wheel with the same centerline offset as your wheel plus a spacer. The load's centerline (center of the tire, basically) in relation to the support bearing's centerline is the only dimension that has en effect on leverage against that bearing. If the net result of a wheel plus spacer wheel in regards to offset from centerline is the same as a different wheel's offset from centerline by itself, physics doesn't know the spacer is there. I promise you that if you take any wheel of the same width as the compomotive everyone here swears by and use a spacer to make the exact same backspacing and offset you'll have no problems that you wouldn't have with the compomotives. It's simple physics. We're just told spacers are bad because ********* put a 1.5" spacer behind their wheel and then are shocked that the insane increase in leverage kills their bearings and such. If you put a wheel with 1.5" more negative offset the exact same problem would exist.