Step 1

Heat 2 Tbsp. butter over medium heat and add the diced onions and peppers. Sauté for 4 minutes, then add the garlic and cook for 1 more minute.

Step 2

Add all remaining ingredients EXCEPT for the cheddar cheese, cream cheese, and garnish ingredients. I also recommend starting with 2 Tbsp. of Taco Seasoning and add more to taste toward the end if preferred. (I end up using all of it.)

Step 3

Let the soup gradually come to a gentle bubble, partially covered. If the chicken boils rapidly, it becomes tough. Cooking it slowly keeps it nice and juicy.

Step 4

Remove the chicken after 20-25 minutes, once cooked through. (Timing depends on the thickness of the chicken.) Use 2 forks to shred, then return to the soup.

Step 5

Reduce heat to low and gradually sprinkle in the shredded cheese and softened cream cheese. Stir until smooth and creamy.

Step 6

Taste and add any additional seasonings as needed. Garnish and serve!