Into the bowl with the activated yeast mixture, add the flour, egg, remaining sugar and salt. With the dough hook attached to a stand mixer, mix together the ingredients at low speed until a shaggy dough forms.

Transfer the dough into a greased mixing bowl, cover with plastic wrap and set aside in a warm area to allow the dough to proof and double in size, about 60-90 minutes.

As the dough proofs, cut a large sheet of parchment paper into (10) squares about 4x4 inches. Set aside.

Deflate the risen dough and transfer to a lightly floured surface. Using a sharp knife or bench scraper, divide the dough into 8 equal pieces.

Working with one pieces of dough at a time, shape into a ball, place on one of the square parchment cutouts and transfer to a large baking sheet. Repeat process with the remaining pieces of dough.

Cover the baking sheet with plastic wrap and set aside in a warm area for the donuts to rise until doubled, about 30 to 40 minutes. (If kitchen runs hot, check on the donuts at the 25 minutes mark. Take care to not over proof the donuts.)

Heat oil in a pot over medium heat to 325F. (Use a kitchen thermometer, if you have one, to monitor the oil temperature. Oil temperature should not go over 350F.)

In batches, fry the donuts until it appears pillowy and golden brown, about 1 minute per side or longer as needed. Transfer fried donuts to a paper towel lined plate or baking sheet.

In small shallow bowl, add the granulated sugar. Individually, coat the donuts in the sugar. Transfer sugar coated donuts into a large baking pan. (I like to stack the donuts in rows for easy piping.)

Using a chopstick or large skewer, poke holes into each donut. Fit a piping bag with a small rounded pastry tip and spoon some Nutella into the piping bag.