Bark,
I think it's important to make sure the tang is free floated otherwise there might be some stress (bending) on the receiver when the action screws are tightened. Some guns mights shoot fine with the tang touching the stock. And some people even bed the tang like you would a Rem 700. But in my opinion why take any chances? It's much easier to eliminate that variable by free floating the tang.
Procedure? I guess it depends on the stock material, and the tools you have at hand. I have used files and sandpaper. A dremel would be faster. But I personally avoid using a dremel because I tend to mess things up that way. For someone more skilled a dremel probably would be fine. Clearance? If you can slide a business card between stock and metal, it should be suficient.
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