For the cupcakes: Preheat the oven to 350 degrees F. Line a muffin pan with 24 regular-size cupcake liners.
In a medium bowl, combine the sugar, all-purpose flour, cake flour, cocoa, cayenne powder, salt, baking soda and cinnamon. Set the bowl aside.
In the bowl of an electric stand mixer fitted with a paddle attachment, beat the oil and eggs on low speed until combined. Add the red food coloring and vanilla extract. Continue beating until the mixture is well combined. Turn the mixer to the lowest speed and add the flour mixture and buttermilk, alternating between the two, beginning and ending with the flour mixture.
Fill the cupcake liners approximately half full with batter and bake until the cupcakes are set and a toothpick is removed cleanly, 20 to 25 minutes. Cool the cupcakes completely.
For the frosting: In the bowl of an electric mixer fitted with a paddle attachment, cream the butter and cream cheese until light and fluffy. Scrape down the sides of the bowl as needed. Add the cinnamon, vanilla extract and salt. With the mixer on low, begin adding the powdered sugar, alternating with the schnapps, until the desired consistency is reached and the mixture is smooth.
Frost each cupcake with the fiery cinnamon cream cheese frosting and serve.
This recipe was created by a contestant during a cooking competition. It has not been tested for home use.