O'Sullivan Stew by Hudson Talbott (2001)
Someone has stolen the witch of Crookhaven's horse, and there will be no peace in the village until it is returned. So bold, brassy Kate O'Sullivan takes matters into her own hands. But instead of saving the day, she manages to land herself--and her family--in trouble with the king. So Kate sets out to save their hides the only way she knows how--with a good story. Filled with imagination, wit, and a healthy helping of good old-fashioned Irish blarney, this is a hilarious tale that will keep readers coming back for more.