In a large bowl whisk together yeast, warm water and 2 tablespoons of the sugar, let rest 10 minutes
Add evaporated milk, remainig sugar, salt, butter, egg, egg yolk and vanilla, stir to blend, it will look lumpy
Add half of the flour and mix until smooth
Add remaining flour and mix, again just until smooth
Cover bowl with plastic wrap and place in a warm spot until doubled about 1 hour
Scrape dough out onto a floured work surface
Roll 1/2 inch thick with floured roller
Cut into three inch circles and cut a whole in the middle of each circle
Cover donut circles and holes with a towel and let rise again until doubled, about 30 minutes
Preheat oil in a dutch oven or deep skillet 1/2 full to 360
Fry 2 to 4 donuts at a time. They cook quick, about 15 seconds on each side, flip with a slotted spoon. fry donut holes aa well.
Drain on paper towels
MAKE GLAZE:
In a large bowl beat butter, confectioner's sugar, cream, vanilla, salt and 2 tablespoons hot water until smooth, add more hot water as needed to make a glaze consistancy
Dip donut tops in glaze to coat, dry on racks. Dip donut holes as well
Donuts are best warm, they can be reheated one at a time in microwave for 5 to seconds
