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Fluffy and soft Lemon Poppyseed Cookies.
Add sugar and lemon zest to a large mixing bowl. Massage lemon zest into sugar using your fingertips until fully combined. Add room temperature butter. Use an electric hand mixer on medium-low speed to beat together butter and sugar until light and fluffy, about 3-4 minutes.
On low speed, beat in applesauce and extracts until combined. Add flour, poppyseeds, baking powder, and salt. Combine on low speed until a soft dough forms. Cover and refrigerate dough for 20 minutes.
Preheat oven to 350°F. Line a large baking sheet with parchment paper. Use a small cookie scoop to portion dough on to baking sheet. Slightly press dough down with the palm of your hand. Bake for 10-12 minutes until light golden.
Cool cookies on baking sheet for 5 minutes before transferring to a wire cooling rack. While cookies are cooling, prepare frosting.
In a medium mixing bowl, use a handheld mixer on medium-high speed to combine cream cheese, butter, extracts, and salt until creamy. Add the powdered sugar and mix on low until a creamy frosting forms.
Frost cooled cookies with creamy cheese frosting and optionally garnish with a bit of lemon zest.