Dissolve yeast in ¾ cup luke-warm water. Set aside.
Heat 2 cups milk in microwave for 2-3 minutes.
While milk is heating add shortening to a large bowl. Pour hot milk over it and whisk until mixed. Add salt, sugar, nutmeg, and cinnamon. Mix well with a wooden spoon. Add 4 eggs and mix well.
Add yeast mixture to batter and mix. Add 2 cups of flour and mix with a wooden spoon. Mix well. Add 2 more cups and mix. Add 2 more cups and mix. At this point, the batter should not be runny. Add 1 more cup of flour, give or take ½ cup. NOTE: You do not want your dough to be tough. Mix until your dough is smooth.
Sprinkle flour onto a clean surface and pour batter onto it. Gently knead dough batter until the surface is not sticky to the touch. NOTE: The dough should be very soft but not sticky that you can't handle it fairly easily. Place the soft dough into a lightly greased bowl. Cover the bowl and let rise for 1 to 1½ hours. Dough should be about double in size when done.
Place dough on a lightly floured surface and roll out to about a 1 inch thickness. Cut the doughnuts out as closely as possible. You can save the middles for doughnut holes. Move donuts and holes to a clean surface. Cover and let rise for 1 to 1½ hours.
Once the donuts and holes are done rising, fry them in a large frying pan with vegetable oil until golden brown.
While donuts are frying make your Glaze. To make glaze mix 7 cups powdered sugar with ⅔ cup water and 2 tsp. vanilla. Add donuts to glaze as soon as they are done frying and make sure both sides are covered. Place on a plate to let excess glaze drain.