Preheat the oven to 350 degrees. Line 2 muffin tins with cupcake liners.

In a large bowl combine the flour, baking powder, and salt. Set aside.

In another large bowl cream together the butter and sugar.

Add the eggs one at a time, stirring after each addition, until combined.

Mix in the vanilla.

Add half of the flour mixture to the butter mixture and mix until combined.

In a small bowl combine the lime juice, orange juice, and tequila. Add the mixture to the flour and butter mixture and stir until well combined.

Add in the remaining flour and mix until just blended.

Fill each of the muffin cups 2/3 of the way full.

Bake for 22-25 minutes or until a toothpick inserted into the center comes out clean.

Remove from oven and cool 5 minutes. Remove cupcakes from the muffin tins and place on a wire rack to cool completely.

Meanwhile beat the butter in a large bowl on medium high speed until smooth.

Add the powdered sugar a half cup at a time, beating after each addition, until a fluffy frosting forms.

Add in the lime juice, orange juice, tequila, and vanilla and beat on high speed for 2 minutes.

Place frosting in a piping bag and pipe onto the cupcakes.

Sprinkle with sanding sugar. If desired garnish with a small lime wedge and a pipette of margarita or tequila.