Warm the water and add the yeast and a tsp of sugar to it. Leave it untouched for ten minutes. Then mix well till the yeast dissolves.
Combine the flour, powdered sugar, salt, vanilla essence, milk and the yeast mixture together and knead into soft dough.
Bring the butter to room temperature and mix it to the dough and knead again till the dough is smooth and elastic.
Place the dough in a bowl and cover with cling film. Leave it untouched until it doubles. It would take around 20-40 minutes.
Press the dough lightly to remove air and knead softly. Now roll out the dough to 1/4″ thickness on a well-floured surface. Use cutter and cut out the desired shape and leave them on floured butter paper for another ten minutes until it doubles again.
Heat oil in a pan. Carefully lift the dough rings and fry them in hot oil on medium flame till golden brown in colour.
Mix together the icing sugar with hot water. Dip one side of the dough nut in the glaze and allow setting.
For chocolate glaze, add cocoa powder to the icing sugar.
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