Best-Ever Sugar Cookies

Ingredients

2 1/2 cups all-purpose flour
1 teaspoon baking powder
1/2 teaspoon baking soda
1/4 teaspoon salt
1/4 teaspoon nutmeg
3/4 cup butter, softened
3/4 cup sugar
1 egg
1 teaspoon vanilla
1/4 cup milk

Cream Cheese Frosting:

1 package (8 oz.) cream cheese
1 teaspoon vanilla extract
4 cups confectioners' sugar
Crushed candy canes

Directions

1. Heat oven to 375°F.
2. In a medium bowl, stir together flour, baking powder, baking soda, salt and nutmeg and set aside.
3. In a large mixer bowl with electric mixer on HIGH speed, cream butter until light and fluffy.
4. Reduce speed to lowest setting. Add sugar, egg, and vanilla, mixing thoroughly. Gradually add dry ingredients and milk; continue mixing until thoroughly blended.
5. Form cookie dough into 1 1/2-inch (2.5 cm) diameter balls and arrange balls on ungreased baking sheets.
6. Flatten balls slightly with the bottom of a drinking glass.
7. Bake in oven for 6 to 7 minutes or until lightly golden around edges. Cool on wire racks.

Frosting:

1. In a large mixer bowl on MEDIUM speed, beat cream cheese and vanilla until creamy. Gradually add sugar, beating until creamy and smooth.
2. Spread on cookies and sprinkle with candy.

Serves: 4 Dozen