MAKE THE DOUGH: In a medium bowl, whisk together the flour, baking powder, baking soda, and salt until evenly combined. In a large mixing bowl, beat the softened butter and granulated sugar with an electric mixer on medium speed for 2–3 minutes until the mixture is light and fluffy. Add in the egg, egg yolk, vanilla extract, and almond extract, mixing until fully incorporated. Gradually add the dry ingredients to the wet mixture, mixing just until the dough comes together. Cover and chill the dough in the refrigerator for at least 1 hour to help the cookies hold their shape and improve the crinkle texture.

MAKE THE RED CRINKLE PASTE: In a small bowl, stir together the red gel food coloring, water, and cornstarch until the mixture is smooth and has a thick, paint-like consistency. Adjust the amount of gel coloring as needed to deepen the red tone.

SHAPE THE COOKIES: Preheat the oven to 350°F (175°C) and line two baking sheets with parchment paper. Scoop the chilled dough into heaping tablespoon portions and roll each into a smooth ball. Coat each dough ball thoroughly in powdered sugar. Slightly flatten each ball into a thick disk and press a small indent in the center using your thumb or the back of a ½ teaspoon measuring spoon. Use a toothpick or fine brush to paint the red crinkle paste along the natural creases and the edges of the indent to create a firework-like effect.

BAKE: Arrange the cookies on the prepared baking sheets, leaving about 2 inches of space between them. Bake for 11–13 minutes or until the tops are set and beginning to crack. Let the cookies cool on the baking sheets for 5 minutes, then transfer them to a wire rack to cool completely.

MAKE THE FONDANT STARS: Divide the fondant into two portions. Tint one portion by kneading in blue gel food coloring until evenly colored. On a clean surface dusted with cornstarch or powdered sugar, roll out both the white and blue fondant to about ⅛ inch thick. Use a 1-inch star cutter to cut out shapes from each color. Optional: For a layered look, gently press a white star over a blue one. Let the fondant stars air-dry for 20–30 minutes so they become firm and easier to handle.

DECORATE: Once the cookies are fully cooled, use a small amount of edible glue or a dab of water to attach a fondant star to the center indent of each cookie. Allow the stars to set for a few minutes before serving or storing.