Preheat the oven to 350°F.
Grease a 9x13-inch baking dish and set it aside.
Place a large skillet over medium-high heat.
Add the ground beef to the skillet.
Cook the ground beef until it is completely browned, breaking it apart as it cooks.
Drain any excess grease from the skillet.
Add the minced garlic and Italian seasoning to the browned ground beef.
Sauté for approximately 30 seconds, stirring constantly.
Add the tomato sauce and granulated sugar to the skillet.
Season with salt and pepper to taste.
Stir until the ingredients are fully combined.
Simmer the meat sauce for 3 to 5 minutes, stirring occasionally.
Remove the skillet from the heat and set the meat sauce aside.
In a medium bowl, combine the softened cream cheese and sour cream.
Mix until smooth and fully blended.
Cook the egg noodles according to the package directions until they reach the desired tenderness.
Drain the noodles completely.
Place half of the cooked egg noodles in an even layer in the bottom of the prepared baking dish.
Spread half of the cream cheese and sour cream mixture over the noodles.
Spoon half of the meat sauce evenly over the cream cheese layer.
Repeat the layers with the remaining egg noodles, remaining cream cheese mixture, and remaining meat sauce.
Sprinkle the shredded cheddar cheese evenly over the top of the casserole.
Place the baking dish in the preheated oven.
Bake for 20 to 25 minutes, or until the casserole is heated through and the cheese is melted.
Remove the casserole from the oven.
Allow it to rest for 5 minutes before serving.
Serve warm.