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Preheat oven to 350°F (175°C). Line baking sheets with parchment paper.
Cream softened butter, granulated sugar, and powdered sugar until light and fluffy.
Beat in eggs one at a time. Add vanilla extract and mix until combined.
In a separate bowl, whisk together flour, baking powder, baking soda, and salt. Gradually incorporate dry ingredients into wet ingredients.
Scoop dough into balls and place on prepared sheets, spacing 2 inches apart.
Bake for 10-12 minutes or until edges are golden. Cool on a wire rack.
For the glaze, melt butter in a saucepan over medium heat. Stir in sugar and water until dissolved. Remove from heat and mix in vanilla extract.
Spoon warm glaze over cooled cookies, allowing it to soak in before serving.