Note: Don't boil the hazelnuts any longer than necessary to loosen their skins, as they will soak up more and more water, and the flesh of the nuts will start to darken. This makes them take a lot longer to toast, and the dark color makes it difficult to tell when they are done. I also feel like if they boil too long, they start to absorb some of the black water in the pot, and pick up some of the bitterness you're trying to get rid of. I find that boiling them for about 3½ - 4 minutes works perfectly, so keep a close eye on them and drain them immediately once a test nut peels easily.
This method comes from Alice Medrich, a cookbook auther, chocolatier, and guest on "Baking with Julia". You can watch the original clip, here:
hazelnut biscotti with Alice Medrich.