In a bowl, combine the cottage cheese, egg, sugar, vanilla sugar, and salt.
Add the flour and baking powder, and mix until you have a soft, manageable dough.
Divide the dough into 4 portions. Shape each portion into a larger ball and a smaller ball (for the top).
Shape the larger balls into rings with a hole in the center, creating a donut shape.
Heat plenty of oil in a skillet over medium heat.
Fry the donut-shaped papanasi and the small balls until golden brown, about 2-3 minutes per side.
Remove them to a paper towel-lined plate to drain excess oil.
Serve warm, topped with sour cream and jam, and dust with powdered sugar.
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