These boozy margarita cupcakes have all the flavor of the classic cocktail wrapped up in a tequila-spiked cupcake loaded with fresh lime juice and lime zest. Topped with zesty lime buttercream frosting (also infused with tequila!), these cupcakes are the perfect dessert for summer gatherings.

In my mind, summer is a margarita in one hand, and a cupcake in the other, while sitting next to a pool. As my go-to drink, I’ve made countless margaritas in my time, and I’ve even made a strawberry margarita cake. But I’ve never tried them in a cupcake until now! These homemade margarita cupcakes are soft, sweet vanilla cupcakes loaded with fresh lime and a hint of real tequila. I’ve topped them with a bright, creamy, lime-flavored version of my homemade buttercream frosting.
There are plenty of margarita cupcake recipes out there, but I don’t know if any of them are as moist or as perfect as these! You’ll be the judge.
What Makes These Margarita Cupcakes So Special?
- Tequila-spiked everything. These cupcakes are infused with tequila from the cupcake batter to the creamy lime frosting.
- Unbeatably moist. My margarita cupcakes are super moist and denser than most, almost like a sponge cake. It’s an adaption of my vanilla cupcakes, which are my absolute favorite.
- Easy to make. I’ll show you how to make the cupcakes and frosting from scratch. Both are super simple recipes that even a beginner baker will love!

Ingredient Notes
These are the important ingredients in my margarita cupcakes recipe, along with notes and tips. Scroll down to the printable recipe card for the complete ingredients list with the full measurements.
- Vegetable Oil – I use oil instead of butter in most of my cake and cupcake recipes. Why? Because oil is the secret to soft, tender cupcakes that stay moist for days.
- Sour Cream – This also helps keep the cupcakes super moist. You can use plain or Greek yogurt instead if needed.
- Fresh Limes – You’ll need a couple of fresh limes for lime juice and lime zest. It’s easiest to zest the limes before you juice them.
- Flour – Measure the flour correctly by spooning the flour into the measuring cup and leveling off the top with the back of a knife. You could also use a kitchen scale. Scooping directly from the bag leads to overmeasuring.
- Tequila – I prefer to use a clear (blanco) tequila as opposed to golden tequila, but either would work.
Tequila Lime Frosting
This is a classic American buttercream frosting with the addition of tequila and lime.
- Butter – I start my frosting recipes with cold, unsalted butter. Yes, cold! The extra time it takes to whip cold butter makes the finished frosting super smooth and fluffy.
- Powdered Sugar and Vanilla – Buttercream essentials. Make sure it’s pure vanilla extract or vanilla paste and not imitation.
- More Lime – You’ll need additional juice and zest for the frosting.

Making Margarita Cupcakes From Scratch
These cupcakes have a moist, spongy texture similar to the layers in my mimosa cake. You’ll start by zesting and juicing the limes. My tutorial on how to zest a lemon applies to limes, too!
Tips for Perfect Cupcakes
- Don’t overmix the batter. As with most baked goods, overmixing the cupcake batter will make the cupcakes overly dense and flat.
- Don’t overfill the pan. Fill each cupcake liner about ⅔ full with batter. Don’t overfill or the liners may overflow as the cupcakes bake.
- Cool completely before frosting. Allow the cupcakes to cool fully to room temperature before you add the frosting. If they’re still warm, the frosting will slide right off.
- Preheat the oven. Cupcakes need a hot oven to rise up quickly and bake evenly. Make sure yours is fully preheated.
Frosting and Decorating the Cupcakes
One thing that’s different about my frosting recipe is that it starts with cold butter. This allows more control over the texture and consistency of the frosting. However, this means that you will spend more time beating the butter until it resembles a whipped consistency. After whipping the butter, you’ll alternate adding the powdered sugar, tequila, vanilla, and lime.
To decorate these margarita cupcakes, I used a 1M piping tip and green polka dot cupcake liners. I garnished the frosting with sanding sugar to resemble the salt rim you’d find on a margarita glass!

Recipe Variations
These margarita cupcakes are amazing on their own, but, like a real margarita, they’re easy to customize. I love changing up the flavors. Here are some ideas.
- Add a filling: These cupcakes would be amazing filled with lime curd or strawberry filling. Make my lemon curd recipe with limes instead!
- Change the frosting: Try frosting these cupcakes with strawberry whipped cream, which is much less sweet than this American buttercream.
- Different citrus: Swap lime zest in the recipe with orange zest or blood orange zest instead for a blood orange margarita-inspired version.
Alcohol-Free Margarita Cupcakes
If you’d prefer to bake these cupcakes without alcohol, simply substitute the tequila with extra milk.

How to Serve and Store Margarita Cupcakes
These can be kept at room temperature for up to 3 days if stored in an airtight container. If you live in a hot or humid climate, then I would suggest refrigerating the cupcakes in an airtight container.
They are best when served at room temperature, so be sure to allow time for them to come back to room temperature before serving.
Can I Freeze These Cupcakes?
These cupcakes can be frozen frosted or unfrosted. Either way, make sure they are cooled completely and freeze them in a freezer-safe airtight container. Thaw overnight in the refrigerator and then serve at room temperature.
More Cupcake Recipes
Margarita Cupcakes
- Prep Time: 30 minutes
- Cook Time: 15 minutes
- Total Time: 45 minutes
- Yield: 24 cupcakes
- Category: Cupcakes
- Method: Oven
- Cuisine: American
Description
These homemade margarita cupcakes have all the flavor of the classic cocktail in a tequila-spiked cupcake topped with zesty lime frosting (also infused with tequila!). This boozy cupcake recipe is the perfect summer dessert.
Ingredients
For the Cupcake:
- 2 cups granulated sugar
- ½ cup vegetable oil
- 3 large eggs
- 2 teaspoons vanilla extract
- ½ cup light sour cream
- 2 limes, zested
- ¼ cup lime juice (approximately 2 limes)
- 2 ½ cups all-purpose flour
- 3 teaspoons baking powder
- 1 teaspoon salt
- ½ cup tequila (I use clear)
- ½ cup milk (I use nonfat)
For the Frosting:
- 2 cups (4 sticks) unsalted butter
- 5–6 cups powdered sugar
- 1 ½ tablespoons tequila
- 1 teaspoon vanilla extract
- 1 teaspoon lime juice
- 1 lime, zested
- Pinch of salt
- Sanding Sugar for garnish
Instructions
For the Cupcakes:
- Preheat the oven to 350°F. Line a cupcake pan with cupcake liners. Zest and juice the limes.
- In a large mixing bowl, combine the sugar, vegetable oil, eggs, and vanilla extract. Beat on medium speed until the eggs and oil are well combined and fluffy. Scrape down the bowl as needed. Next, mix in the sour cream and lime zest and beat until well combined.
- In a separate bowl, combine the dry ingredients. Then, combine the lime juice and tequila. To the batter, add half of the dry ingredients and half of the tequila mixture and beat just until the flour starts to combine. Add all the remaining ingredients and beat until well combined. Use a spatula to scrape down the sides of the bowl and stir the batter from the bottom to the top to ensure it’s well mixed.
- Using a large cookie scoop, divide the batter evenly, filling each liner 2/3 full. Careful not to overfill. Bake at 350°F for 14-16 minutes. Test the cupcakes for doneness by inserting a toothpick into the center of the cupcake. If the toothpick comes out clean, the cupcakes are done. Cool Completely.
For the Frosting:
- Cut the butter into pieces. Using the paddle attachment, whip butter for 5-7 minutes, scraping down the bowl occasionally. Beat until the butter looks light in color.
- Alternate adding 2 cups of powdered sugar at a time with the liquid ingredients: tequila, vanilla extract, lime juice, followed by the lime zest. Ensure the powdered sugar is well combined, and whip for 1-2 minutes before adding more powdered sugar.
- Once the last of the powdered sugar has been added, increase the speed to medium-high and beat for another 3-5 minutes to whip additional air into the frosting.
- Decorate the cupcakes with a 1M piping tip and sprinkle with sanding sugar.
Nutrition
- Serving Size: 1 cupcake
- Calories: 434
- Sugar: 46.6 g
- Sodium: 120 mg
- Fat: 21.1 g
- Carbohydrates: 59.7 g
- Fiber: 0.5 g
- Protein: 2.7 g
- Cholesterol: 65.7 mg
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It tastes just like a margarita! Unfortunately even after following the recipe and baking times to a T, they were very dry and dense and not quite what we expected.
Thank you Elizabeth for sharing. Dense, yes. The cupcake is similar to a sponge cake. But dry? They definitely shouldn’t be dry! How long did you bake them for?
Looking so good! Fabulous recipe!