In large bowl, sift together flour, salt, nutmeg and baking powder
Cream butter and sugar in separate large bowl. Add egg yolks and mix well.
Alternately, mix flour mixture with sour cream until well blended. Add applesauce and mix well.
Cover with plastic wrap and chill one hour.
On floured surface, roll dough out to about 1/2 inch thick.
Cut out donuts, saving the holes. Makes about 12 donuts.
Heat oil over medium heat.
One by one fry donuts in oil until light golden brown in color. This does not take long so make sure to watch closely.
Dry donuts on paper bag to soak up grease.
For glaze, combine powdered sugar, vanilla extract, salt, light corn syrup and hot water. Whisk until smooth and emmerse each donut and hole and set on wire rack to set. About 20 minutes.