In an electric mixer with paddle attachment, cream together the butter and sugar for several minutes. It will start out chunky and become soft and fluffy.
On low speed, add the egg, lemon juice, lemon zest, vanilla extract and lemon extract paste.
Add flour, salt, baking soda and baking powder. Mix together on low speed just until combined.
Scrape the bowl and add food coloring gel (if using). Mix together on low speed just until combined and smooth. Dough will be sticky.
Cover the cookie dough and chill for at least 1 hour. Preheat the oven to 350 degrees. Using a cookie scoop, scoop dough into balls and drop into a bowl of powdered sugar. Roll around to coat thoroughly and be generous. Roll it a couple of times and don't shake off the excess.
Place powdered sugar-coated dough balls about 2 inches apart on a non-stick cookie sheet or a parchment paper-lined cookie sheet. Don't press down on them; they'll flatten and crackle while baking.
Bake at 350 degrees for 12-15 minutes. Edges will start to turn golden brown. Remove to a wire rack to cool completely.
Notes
Using a 1 tablespoon cookie scoop, the yield will be about 24 cookies. For slightly larger cookies, use a 1-1/2 tablespoon scoop to make about 18 cookies.