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Preheat oven to 375 F. Line 2 cookie sheets with parchment paper.
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In a medium bowl, stir together the flour, baking powder, baking soda and salt. Set aside.
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In a large mixing bowl, stir the butter and sugar until creamy (about 3 minutes). Add in the eggs, one at a time. Mix in the lime juice, ricotta, vanilla and about half of the lime zest.
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Add the flour mixture into the ricotta mixture and stir until combined.
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Place the dough by spoonfuls onto the parchment paper. Bake for 15 minutes or until the edges are beginning to brown. Let cool completely.
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Once the cookies are cooled, combine powdered sugar, remaining lime zest and lime juice in a small bowl. Stir in the water a little at a time to create a thick glaze. Spoon the glaze over the cookies and let sit until the hardened.
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Store the cookies in an airtight container (I prefer to keep them in the fridge).