Most likely it will fit. I have a lonestar with 2.5" level up front and I fit 295/65R20 easily. Height of the tire wasn't an issue at all. I was close when it came to the width, but with the level moving the wheel down out of the wheel well, it put the widest part of my tire at the widest part of the wheel well. So I have no clearance issues and no rub. My main point of concern was side wall gap between inside of the tire to the upper control arm. But that clears too by a finger.
295/60R20 shows to be a 33.9" tire, so the width is what will possibly get you. If it does, it would likely be on the little mud flap on the back side of the wheel well. Front side of the wheel well doesn't really have anything extra to protrude out.
What tire are you thinking of going with? Tires tend to measure out differently once in person than what their specs say. For example I have Yokohama Geolandar M/T's, which measure out taller than other brand/tire 295/65s, but measures out true to size with width or slightly narrower. Whereas i've had Nitto Ridge Grapplers measure out slightly shorter than equivalent sized tires, but also a good deal wider. So a Nitto Ridge Grappler in 35x12.5 I had measured out to about 33.5"x13" once I had them mounted.