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Prepare pan and oven - Preheat the oven to 350 degrees F and line a baking sheet with parchment paper.
Grate the tofu - Pat the tofu dry and squeeze out any excess water, but you don't need to press the tofu (it will dry out as it bakes). Grate the tofu using a large cheese grater. Set aside while you make the sauce.
Make the sauce and mix with tofu - In a large bowl, mix together the olive oil, soy sauce, tomato paste, onion powder, garlic powder and smoked paprika. Add the shredded tofu and mix well.
Bake the tofu - Spread the coated tofu shreds evenly onto the parchment lined pan. Place in the oven and bake for 15 minutes, then give it a little stir and bake for 15-20 more minutes. The tofu should be crispy in some places, but not burned. It should be quite dried out and not watery.
Serve with toppings of choice - Serve in corn or flour tortillas with any toppings you like.