Bring a large pot of salted water to a boil.

Cook the macaroni 1-2 minutes less than package instructions (it will cook more in the sauce).

Drain (reserve ½ cup pasta water if needed for thinning) and set aside.

Heat a large skillet over medium-high heat.

Add ground beef and cook, breaking it up with a wooden spoon.

When half-cooked, add diced onion and cook until soft (3-4 minutes).

Stir in minced garlic and cook for 30 seconds.

Drain excess fat if needed.

Add taco seasoning, diced tomatoes with green chiles, and water.

Simmer on medium-low heat for 5-7 minutes until slightly thickened.

Remove from heat and set aside.

Melt butter in a saucepan over medium heat.

Whisk in flour and cook for 1-2 minutes (until slightly golden).

Gradually whisk in milk and cream, stirring continuously.

Simmer until thick enough to coat the back of a spoon (about 5-7 minutes).

Stir in garlic powder, onion powder, and smoked paprika.

Reduce heat to low and add cheeses one handful at a time, stirring until melted.

Stir in diced green chiles.

Add cooked macaroni to the cheese sauce and stir until coated.

Fold in ⅔ of the taco meat, reserving some for topping.

Transfer to a large serving dish or individual bowls.

Top with remaining taco meat.

Garnish with tomatoes, red onion, avocado, cilantro, and tortilla chips.

Serve hot with sour cream and hot sauce on the side.