Preheat oven to 400°F (200°C) and prepare a muffin pan.

Make the cream cheese filling by heating the cream cheese in a microwave-safe bowl for about 20 seconds.

Combine all dry ingredients in a large mixing bowl and whisk together.

In a separate bowl, mix wet ingredients until smooth.

Pour wet mixture into dry ingredients and fold in grated carrots.

Scoop batter into muffin cups, filling each halfway.

Add cream cheese filling on top of the batter, then cover with more batter.

Optionally sprinkle with coarse sugar before baking.

Bake for approximately 20 minutes or until a toothpick comes out clean.

Cool muffins in the pan for about 5 minutes before transferring to a wire rack.