Activate the yeast:
Mix warm milk, a teaspoon of sugar, and yeast in a small bowl. Let it sit 5–10 minutes until frothy.
Make the dough:
In a large bowl, combine flour, sugar, and salt. Make a well and add the yeast mixture, eggs, vanilla, and lemon zest. Stir until a sticky dough forms.
Knead the dough:
Add softened butter in small pieces. Knead 10–12 minutes by hand until smooth and elastic.
First rise:
Place dough in a greased bowl, cover with a damp cloth, and let it rise for 2 hours or until doubled.
Fold in fruits and nuts:
Gently add dried fruits and almonds. Don’t overmix.
Second rise:
Shape dough into a dome and place in a greased bundt pan or panettone mold. Cover and let rise 1–2 hours until just over the top of the pan.
Bake:
Preheat oven to 350°F (175°C). Bake 35–40 minutes. If the top browns too fast, cover with foil.
Cool and glaze:
Let panettone cool completely. Mix powdered sugar, sparkling wine, and vanilla for glaze. Drizzle over cooled cake and let set.