Combine dry ingredients in large bowl, mixing well. Combine rest of ingredients; add to flour mixture, blending well. Heat oil in deep fat fryer or kettle to 360 degrees F. Toss dough on well floured surface until not sticky. Roll out half at a time with floured rolling pin to 1/4 inch thick. Cut with floured donut cutter. Slip 4-5 donuts cautiously into hot fat; cook until nicely browned. Turn when each rises to surface. Drain on paper towels. Let oil return to 360 degrees F and repeat until all rings are cooked. Shake a few donuts at a time in a bag with powdered or granulated sugar or cinnamon sugar mixture.
Variations:
Applesauce Donuts - Decrease buttermilk to 2/3 cup; add 1/2 cup applesauce and 1 teaspoon cinnamon.
Orange Donuts - Omit nutmeg, add 2 tablespoons grated orange peel; use 1/2 cup orange juice and 1/2 cup buttermilk.
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