Combine flour, baking powder, baking soda and salt in medium bowl.
Stir together butter and sugar in large bowl until fluffy. Beat in egg, vanilla and almond extract. Gradually add flour mixture; stir until dough is well blended. Wrap in plastic wrap and hill two hours or overnight.
Preheat oven to 375 F. Line cookie sheets with parchment paper.
OPTION 1 Scoop 1 tablespoon of dough and roll into a ball, roll in a bowl of colored sugar and press slightly with the bottom of a cup. (This is the way I did it.)
OPTION 2 Roll dough out onto lightly floured surface to 1/8 inch thickness. Cut into holiday shapes using cookie utters and transfer to prepared cookie sheets.
Bake until golden brown on edges; approximately 8-12 minutes.
Transfer cookies to rack to cool.
You can also make an icing for your cookies if you cut and decorate them. You use 2 cups of powdered sugar and 2 tablespoons of milk. Mix them together and add food coloring for desired color. Spread icing on cookies and decorate with colored sugars and sprinkles.