Heat olive oil in a medium saucepan over medium heat.
Add the chopped onion and sauté until translucent, about 5 minutes.
Stir in minced garlic and cook for another minute.
Add chili powder, cumin, paprika, salt, and pepper; stir well to combine.
Pour in the tomato sauce and vegetable broth, mixing thoroughly.
Bring the mixture to a simmer, reducing heat to low.
Let the sauce simmer for 15 minutes, stirring occasionally.
Taste and adjust seasoning as necessary.
Remove from heat and let cool slightly before using.
Store in an airtight container or use immediately on enchiladas.