Description

This Cheesy Low Carb Taco Casserole is a hearty, flavorful dish featuring seasoned ground meat and sautéed vegetables layered with a creamy cheese mixture and topped with melted, golden cheddar cheese. Perfect for those following a low-carb lifestyle, it combines comforting taco flavors with a creamy, cheesy texture baked to perfection in a casserole dish.

Ingredients

Scale

Meat & Vegetables

2 pounds ground beef (80/20 or 85/15), ground turkey, or ground chicken
1 large yellow onion, finely diced
2 bell peppers (any color), cored and diced
1 (10-ounce) can diced tomatoes with green chilies (Rotel), undrained

Seasoning & Liquids

2 tablespoons olive oil or avocado oil
1 (1-ounce) packet low-carb taco seasoning
½ cup water or beef broth
Salt and freshly ground black pepper to taste

Creamy Mixture

8 ounces cream cheese, softened to room temperature
½ cup sour cream (full-fat)
¼ cup heavy cream (optional)
½ teaspoon garlic powder
¼ teaspoon onion powder

Topping

2 cups shredded cheddar cheese, Monterey Jack, or a Mexican blend

Instructions

Prepare Ingredients & Preheat Oven: Preheat your oven to 375°F (190°C) and lightly grease a 9×13-inch baking dish. Ensure cream cheese is softened, and dice the yellow onion and bell peppers. Open canned ingredients.
Brown the Ground Meat: Heat 2 tablespoons of olive oil in a large skillet or Dutch oven over medium-high heat. Add your ground beef (or chosen meat), break it up, and cook, stirring occasionally, until completely browned (7-10 minutes). Drain off any excess fat.
Sauté Aromatics & Season: Return drained meat to the skillet. Add the finely diced yellow onion and bell peppers. Cook over medium heat for 5-7 minutes, stirring frequently, until vegetables soften. Sprinkle the low-carb taco seasoning over the mixture, stir well, and cook for an additional minute until fragrant.
Simmer the Filling: Pour in the undrained diced tomatoes with green chilies and ½ cup of water or beef broth. Stir everything together. Bring to a gentle simmer, then reduce heat to low, cover, and cook for 5-10 minutes to meld flavors. Taste and adjust salt and pepper if necessary. Remove skillet from heat.
Prepare the Creamy Mixture: In a separate medium-sized bowl, combine the softened cream cheese, sour cream, optional heavy cream, garlic powder, and onion powder. Whisk or mix thoroughly until the mixture is completely smooth and free of lumps.
Combine Meat & Creamy Layers: Gently fold about two-thirds of the smooth creamy mixture into the skillet with the seasoned meat and vegetables. Stir until just combined. Transfer this meat and creamy mixture to the prepared 9×13-inch baking dish and spread evenly.
Assemble the Casserole: Carefully dollop the remaining one-third of the plain creamy mixture over the meat layer and gently spread it out into an even layer. Generously sprinkle the 2 cups of shredded cheddar (or blend) cheese evenly over the top.
Bake to Perfection: Place the baking dish into your preheated oven. Bake for 25-30 minutes, or until the casserole is bubbling around the edges and the cheese on top is melted, golden brown, and slightly bubbly. If the cheese browns too quickly, you can loosely tent the dish with aluminum foil for the last 10 minutes.
Rest, Garnish & Serve: Once baked, remove the casserole from the oven and let it rest on a wire rack for 5-10 minutes before serving. Garnish generously with optional fresh toppings such as chopped cilantro, diced avocado/guacamole, extra sour cream, sliced jalapeños, hot sauce, or shredded lettuce. Serve warm.
Storage Instructions: Store any leftovers covered tightly in the refrigerator for up to 3-4 days. Reheat in the microwave or oven. Add fresh avocado toppings just before serving.

Notes

Use any ground meat you prefer, such as beef, turkey, or chicken, depending on dietary preferences.
Heavy cream in the creamy mixture is optional but adds extra richness.
Adjust taco seasoning and salt to your taste and low-carb dietary requirements.
For a spicier version, add sliced jalapeños or hot sauce before serving.
This casserole can be made ahead and refrigerated before baking for convenience.
Leftovers reheat well in both microwave and oven.

Prep Time: 20 minutes
Cook Time: 40 minutes
Category: Main Course
Method: Baking
Cuisine: Mexican-American

Keywords: low carb, taco casserole, cheesy casserole, ground beef recipe, keto friendly, Mexican-inspired, dinner, comfort food