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Preheat oven to 350°F. For the Cupcakes, beat all cupcake ingredients in large bowl with electric mixer on low speed just to moisten. Beat on medium speed 2 minutes. Spoon batter into 12 paper-lined muffin cups.
Bake 15 to 17 minutes or until toothpick inserted into center of cupcake comes out with moist crumbs. Cool in pan 5 minutes. Remove from pan; cool completely on wire rack.
For the Frosting, beat butter and extract in large bowl until light and fluffy. Gradually add confectioners’ sugar, beating well after each addition. Beat in desired amount of milk until light and fluffy. Frost cooled cupcakes with Frosting.