Preheat oven to 350 F.
Mix together flax meal with water in a small bowl and set aside for about 5 minutes to gel.
In a medium-size bowl, whisk together flour, baking powder, salt and nutmeg.
In a large bowl, cream together room-temperature butter (or butter and sour cream) with the sugar until mixed well. Add flax mixture and vanilla (and almond extract if using) and beat until light and fluffy.
Add the flour mixture to the wet mixture and combine into a dough.
Divide dough into 3 parts, wrap each one in cling wrap, shape into disk shape, and chill in the refrigerator for 1-3 hours. (overnight is okay, too. Or freeze the 3 wrapped dough pieces together in a freezer bag for up to 3 months, until ready to use.)
Have two sheets of parchment paper ready. Remove chilled dough. Sprinkle a little flour on one sheet of parchment paper to prevent dough from sticking to the surface. Then place dough on the parchment and sprinkle a little more flour onto the top of the dough before adding the top sheet of parchment. Roll dough with a rolling pin, between the two sheets, to approximately 1/4-inch thick or a little thinner. Thinner than that will make a crispier, more fragile cookie.
Next, remove the top sheet of parchment from the dough and set aside. Have a shallow bowl or plate with a little flour to dip your cookie cutter in so it doesn't stick to the dough. After dipping, start cutting out shapes in the rolled dough.
Dip a thin and flexible spatula into a little flour, then gently lift cut cookie shapes onto a parchment-lined baking sheet. (Do not use wax paper in the oven.)
Re-roll scraps of dough and repeat the process until it's all used. Then repeat the process with the other two disks of chilled dough.
Bake cookies in the preheated oven for about 8-10 minutes depending on the size and thickness of your cookies. You should start to see a little light golden shade around the rim. After taking them out of the oven they will continue cooking on cookie sheets so don't overbake.
When done, cool the baking sheet of cookies on a wire rack for a few minutes, then carefully transfer them off the baking sheet to the wire rack with the thin spatula to finish cooling.