01 - Combine lukewarm milk and yeast in a small bowl. Let sit for 5 minutes until mixture becomes frothy and activated.
02 - Beat eggs, sugar, softened butter, and vanilla extract in a large mixing bowl until smooth and well combined.
03 - Pour the yeast mixture into the egg mixture. Stir in salt and half of the flour, mixing until fully incorporated.
04 - Gradually add remaining flour while mixing until a sticky, cohesive dough forms. Scrape down sides of bowl as needed.
05 - Turn dough onto a lightly floured surface. Knead for 5-6 minutes until smooth, elastic, and no longer sticky.
06 - Place dough in a greased bowl, cover with a damp cloth, and let rise in a warm place for 1 to 1.5 hours until doubled in size.
07 - Punch down risen dough. Roll out on floured surface to 1/2-inch thickness. Cut into 2 1/2-inch squares using a sharp knife or pizza cutter.
08 - Heat vegetable oil in a deep fryer or heavy-bottomed pot to 350°F. Use a kitchen thermometer to verify temperature.
09 - Fry beignets in batches without overcrowding. Cook for 1-2 minutes per side, turning once, until puffed and golden brown on both sides.
10 - Remove beignets with a slotted spoon and drain on paper towels. While still warm, generously dust all sides with powdered sugar.