Heat oven to 400°F. In large bowl, beat 1 1/4 cups powdered sugar and the butter with electric mixer on medium speed until light and fluffy. Add lemon peel, lemon juice and egg; blend well. Stir in flour and salt until well mixed. Fill cookie press with dough. Using the cookie press and bar plate, press a long ribbon of dough onto ungreased cookie sheet. Score the cookie dough at 2 1/4-inch intervals.
Bake 5 to 8 minutes or until set but not brown. Cut cookies at score lines with sharp knife. Immediately remove from cookie sheets. Cool completely.
In small bowl, mix 1 cup powdered sugar and enough lemon juice for desired drizzling consistency. Drizzle over cookies; let stand until set. Sprinkle with 2 teaspoons powdered sugar.