Preheat oven to 350 degrees F. Grease a 9-inch square baking dish. Set aside. In a large mixing bowl, combine sugar, flour, baking powder, baking soda and salt. Cut butter into small pieces. With a pastry cutter, two forks or your fingertips, blend butter into flour mixture until it resembles fine cornmeal. Take half of it and press into the bottom of the baking dish. In a small bowl, combine milk, egg and nutmeg. Add to remaining flour mixture along with chopped walnuts. Spoon over the mixture in pan. Bake for 45-50 minutes until toothpick inserted in center comes out clean. Let cool in pan slightly before turning out onto a wire rack to cool.

Courtesy of Whole Foods Market.