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While the cake is baking, set a clean kitchen towel out on a large work surface. Sprinkle liberally with powdered sugar.
As soon as you remove the cake from the oven, turn it over onto the kitchen towel sprinkled with powdered sugar. Gently remove the foil or parchment paper.
Working from the short end, fold the edge of the towel over the cake and roll tightly, rolling up the cake in the towel. Let cool completely while rolled, at least one hour.
Make the Frosting:
Beat the butter and cream cheese together until smooth. Beat in the powdered sugar and vanilla extract until fully combined and creamy.
When the cake is cool, carefully unroll the towel. Spread the cream cheese filling evenly over the cake. Re-roll the cake tightly without the towel.
Chill the cake roll until it firms up a bit. Dust with powdered sugar, then slice and serve. Enjoy this delightful Carrot Cake Roll with a rich cream cheese filling!
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