In a large bowl, combine the all-purpose flour, granulated sugar, active dry yeast, and salt. Mix well.

In a separate bowl, whisk together warm milk, melted unsalted butter, and pure vanilla extract.

Gradually pour the wet ingredients into the dry ingredients while stirring until a dough begins to form.

Transfer the dough onto a lightly floured surface and knead for about 8-10 minutes until smooth and elastic.

Place the kneaded dough into a greased bowl, cover it, and let it rise in a warm area for about 1.5 hours, or until doubled in size.

Once risen, punch down the dough and roll it out to about 1/4 inch thickness. Cut into 2x2 inch squares.

Heat about 2 inches of vegetable oil in a deep fryer or large pot to 360°F.

Fry the beignets in batches for about 1 to 2 minutes on each side until puffed up and golden brown. Remove with a slotted spoon and drain on paper towels.

Dust with powdered sugar and serve immediately.

Allow to cool slightly on a wire rack if not served immediately.