In a large bowl, stir together buttermilk baking mix, flour, sugar, and nuts. In another smaller bowl, whisk together eggs, anise extract, and water. Pour liquid over the dry ingredients and stir until well combined. Dough should have a dry consistency like biscuit dough. Roll dough into walnut sized balls and place on a cookie sheet. Bake in the preheated oven for 12 to 15 minutes. Cookies should be a light golden brown. Remove to cool on a rack. When cool, paint with glaze.
For glaze: Mix confectioners' sugar with anise extract and food coloring. Add water 1 tablespoon at a time. Stir until smooth. Water may be adjusted to give the glaze a creamy paint-like consistency. Paint the cookies with a pastry brush, or dip them in the glaze with a slotted spoon. Let the cookies dry on waxed paper or on cooling racks. If you do not glaze the cookies, they will become rock-hard in texture.