Preheat oven to 350 degrees. Line two baking sheets with parchment paper.

With an electric mixer, beat cream cheese and butter together at high speed until fluffy. Add sugar and beat until fully incorporated, 1-2 minutes more. Beat in the eggs and vanilla.

In a separate, medium-sized bowl, whisk together the flour, baking powder and salt. Gradually add the dry ingredients to the creamed mixture. Do not over-mix.

Shape the dough into one inch balls, and place on the prepared baking sheets about 2 inches apart. The batter will be sticky. If it seems to sticky to handle, put it in the refrigerator for 15-20 minutes.

Bake cookies for 8-10 minutes, or until they just began to brown. Cool cookies on the baking sheet for 2-3 minutes before transferring to a wire rack to cool completely. Once cool, dust with powdered sugar.