In the bowl of electric mixer or stand mixer beat the butter and cream cheese on medium for 30 seconds.
Add sugar, baking powder and salt. Beat until combined, scraping sides occasionally.
Beat in eggs and vanilla. Mix until combined.
Add as much of the flour as you can with mixer. Use a spoon or spatula to add remaining flour.
Divide dough in half. Wrap in plastic, shaping dough into a log. Chill for at least 4 hours.
On a well floured surface, roll out dough to approx. 1/4 inch thick. Use your favorite cookie cutter shapes to create cookies.
Bake in a 375° oven for 8-10 minutes or until edges are lightly browned.
Cool on cookie sheet for 1 minute, then transfer to a wire cooling rack.