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Preheat oven to 350 degrees F. Line two 24-cup mini-muffin pans with paper mini-muffin liners.
In a large bowl, whisk together the sugar, oil, orange zest, 1 teaspoon of the vanilla and the eggs until well blended.
In a small bowl, whisk together the flour, baking powder, baking soda, spices and salt, then stir into the wet ingredients until just blended. Fold in the carrots, dried cranberries and coconut.
Fill muffin cups halfway with the batter and bake for about 20 to 25 minutes, until they spring back lightly when touched in the center. Place on racks to cool.
While the cupcakes are cooling, beat together the confectioners’ sugar, cream cheese and remaining teaspoon of vanilla until smooth. Frost the cupcakes and dip each into a bowl filled with coconut to make them look snow-covered.