to 4 Tbsp toasted coconut (Toast sweetened coconut flakes in a pan on the stovetop or in the oven, stirring frequently; once it browns it will happen quickly!)
Lime slices, cut into fourths
Combine the flour, baking powder, baking soda, and salt in a bowl.
Whisk the eggs and sugar in a separate bowl. Then add the oil, lime zest and juice, coconut extract, and coconut milk.
Mix the dry ingredients into the wet ingredients until just combined. Do not over mix.
Line a cupcake pan with paper cups and fill each cup ⅔ full.
Bake at 400 degrees Fahrenheit for 14 minutes or until the cake springs back when lightly touched. (Alternately use a toothpick to test the center of a cupcake.) Allow cupcakes to cool completely.
Make frosting by beating the cream cheese with a hand mixer. Add butter 1 Tbsp at a time and beat thoroughly after each addition. Then add the coconut extract and powdered sugar all at once and mix until just combined. Do not over beat frosting once the sugar is added.
Scoop frosting into a pastry bag that's been fitted with a tip and pipe frosting on top of the cooled cupcakes.
Garnish with a wedge of lime and sprinkle of toasted coconut.
Tips: *For more lime flavor, squeeze the wedge of lime garnish onto the cupcake just before consuming. **Wait to add the toasted coconut until just before serving so it stays crisp. The longer it sits on the cupcake, the more it absorbs the moisture from the frosting and will go soft.