Preheat oven to 350 degrees. Line the bottoms of three 8-inch x 2-inch round cake pans (or three 9-inch x 2-inch pans) with waxed paper or parchment paper, and then lightly spray with non-stick baking spray. Set pans aside.
In a large mixing bowl, and with a hand or stand mixer, cream together the oil and sugar. Add in the eggs one at a time with the mixer running on the lowest speed. Continue to mix together until the eggs are completely combined. Add the food coloring and the vanilla and mix to combine.
In a separate bowl, finely sift together the flour, cocoa powder, and salt, making sure there are no lumps. Set aside.
In a bowl, whisk together the buttermilk and baking soda. The milk will become slightly frothy.
To the batter, begin adding in the dry ingredients, alternating with the buttermilk mixture to the batter, stopping the mixer often to scrape down the sides of the bowl. Continue until all dry and wet ingredients come together as a smooth batter.
Divide the batter equally among the three prepared pans. Bake the cakes for 28-30 minutes (22-25 minutes for the 9" pans), testing with a toothpick before coming out of the oven. If the inserted toothpick comes out of the cake clean, and crumb-free the cake is done.
Let the cakes cool in the pans for approximately 10 minutes. Slide a knife around the edges of the pan, and invert the cakes, releasing them from the pan. Be sure to peel off the paper that lined the bottoms of each pan. Place on cooling racks to cool completely before frosting.
Prepare cream cheese frosting according to this recipe. Once cakes are completely cool, slice off any excess cake that may have formed a dome-shape on top, to make cakes even. Spread a generous amount of frosting on the tops of each cake, stacking in a layer. Frosting the sides and top of the cake. if desired, crumble some of the cake shavings and sprinkle them around the outer edge on top of the cake.
If refrigerating cake, make sure it comes to room temperature before slicing and serving.
If you're in a pinch, you can use store-bought cream cheese frosting, but the homemade frosting is SO much better!