Combine the flour, pudding mix, and baking powder in a medium mixing bowl. Set aside.
In a large bowl, beat together the butter, cream cheese, and sugar until light and fluffy. Add the egg and vanilla and mix until smooth.
Gradually add the flour mixture to wet ingredients mixing until just combined.
Stir in chocolate chips using a rubber spatula.
Refrigerate the cookie dough for 1 hour.
Preheat our oven to 350 degrees F.
Use a cookie scoop to portion the dough and then roll into 1-inch balls. Place about 2-inches apart of a parchment paper or silicone mat-lined baking sheet.
Flatten the cookie dough balls slightly with the bottom of a glass. Don't squish them too much, just enough to flatten the top.
Bake for 10-12 minutes or until the bottom edges are lightly browned. Remove the cookies to a wire rack to cool completely.