Preheat your oven to 350°F (175°C) and line a baking sheet with parchment paper.

In a large mixing bowl, whisk together the all-purpose flour, granulated sugar, baking powder, and salt until well combined.

In a separate bowl, beat the unsalted butter until creamy, then blend in the egg, milk, and vanilla extract.

Gradually fold the dry ingredients into the wet mixture until just combined. Chill the dough in the refrigerator for about 15 minutes if sticky.

Divide the dough into 12 equal portions, flatten each piece, add about 1 teaspoon of Nutella in the center, and seal tightly.

Brush the tops with milk, sprinkle with coarse sugar, and bake for 12-15 minutes or until golden brown.

Cool on the baking tray for about 5 minutes before transferring to a wire rack to cool completely.