Strain 1 cup Yogurt in a muslin cloth to remove water. Alternatively, you can use 1/2 cup of Greek Yogurt. Then beat the Yogurt in a large mixing bowl.
Add Ginger-Garlic paste to the yogurt. Also add Turmeric Powder (Haldi), Red Chilli Powder, Garam Masala, Cumin Powder, Chaat Masala and Salt. You can also add 2 Tablespoons of roasted gluten free Besan (Chickpea gluten free Flour) to the yogurt.
Mix all the contents. Whisk until smooth. Add a half of fresh Lemon juice and 1 few drops of oil.
Dice the Paneer into 1/2-inch-thick cubes. Remove the seeds from the capsicum. Dice the onions and capsicum (bell peppers) into 1/2-inch squares.
Mix well to coat the Paneer and vegetables with the spicy Yogurt paste. Cover the bowl and let the Paneer marinate for 20-30 minutes.
Brush oil on a hot pan or tawa. Place these marinated Paneer and Vegetable pieces on the pan or Tawa. Brush some more oil on the top.
When the Paneer has cooked from the bottom, turn the pieces to cook them on all sides till they turn golden brown in color. The Paneer and the vegetables should get slightly charred.
Now we will make the curry for the paneer tikka masala. Heat 1 tbsp of oil in a pan. Add cumin seeds.
When the seeds start to crackle, add the chopped onions, crushed garlic pods and chopped ginger. Fry till the onions turn golden brown in color.
Chop or puree the Tomatoes and add them to the pan. Sauté on medium flame till the tomatoes are cooked, around 4-5 minutes.
Add the spices like Turmeric Powder, Red Chilli Powder, Garam Masala, Coriander Powder and Salt.
Pour a Tablespoon of curd and cook for another couple of minutes.
Add water to adjust the consistency of the gravy and boil the curry for a minute. Add Kasoori Methi (Dry Fenugreek leaves) to the gravy.
When the Gravy turns thick, add the grilled Paneer and Vegetables in the gravy.
Mix everything well and cook on medium heat for 2 minutes.
Paneer Tikka Masala is ready. Garnish it with freshly cut coriander leaves (Hara Dhania). Serve Paneer Tikka Masala hot.