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1
Process the granulated sugar and lemon zest together in a food processor until the sugar is pale yellow and damp, about 30 seconds. Add the flour, baking powder and salt and pulse to combine, about 10 pulses. Add the butter pieces and pulse until the mixture resembles fine cornmeal, about 15 pulses.
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2
In a small bowl, whisk the lemon juice, egg yolk, and vanilla together. With the machine running, add the lemon juice mixture through the feed tube in a slow, steady stream, about 10 seconds. Continue to process until the dough begins to form a ball, 10 to 15 seconds.
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3
Transfer the dough to a clean counter and roll it into a 10-inch log, about 2 inches thick. Wrap the dough tightly in plastic wrap and refrigerate until firm, about 2 hours.
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4
Adjust the oven racks to the upper-middle and lower-middle positions and heat the oven to 325u00b0F. Line 2 baking sheets with parchment paper.
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5
Slice the dough into 3/8-inch-thick cookies. Lay the cookies on the prepared baking sheets, spaced about 1 inch apart. Bake the cookies until the edges begin to brown, 13 to 16 minutes, switching and rotating the baking sheets halfway through baking. Let the cookies cool on the baking sheets for 3 minutes, then transfer to a wire rack to cool completely before glazing.
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6
Whisk the cream cheese and lemon juice together in a medium bowl until smooth, then whisk in the confectioners' sugar. Spoon a teaspoon of the glaze onto the center of each cookie and spread it out evenly with the back of a spoon. Let the glaze dry completely, about 30 minutes before serving.
