a flavor produced in puddings, frostings, ice cream, etc., by combining brown sugar, vanilla extract, and butter with other ingredients.
a hard, brittle taffy made with butter, brown sugar, etc.
a golden brown color.
having the flavor of butterscotch.

1850–55; earlier also butterscot; the 2nd element of the compound is unexplained

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World English Dictionary
butterscotch (ˈbʌtəˌskɒtʃ)
1.  a kind of hard brittle toffee made with butter, brown sugar, etc
2.  a.  a flavouring made from these ingredients
 b.  (as modifier): butterscotch icing
[C19: perhaps first made in Scotland, or perhaps from scotch1 (sense 3), 'to cut or score', because it was originally cut with a knife into small pieces]

Collins English Dictionary - Complete & Unabridged 10th Edition
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Encyclopedia Britannica


usually hard candy made by boiling brown sugar and butter or corn syrup together in water. The derivation of the name is disputed as to whether it denotes the candy's origin in Scotland or an original ingredient of "scotched," or scorched, butter. Although the terms butterscotch and caramel are sometimes used interchangeably, butterscotch is generally distinguished by the absence of milk or milk substitutes from its recipe.

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Encyclopedia Britannica, 2008. Encyclopedia Britannica Online.
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Example sentences
The taste was slightly smoky and reminiscent of butterscotch.
Dessert includes hot date cake, topped with banana ice cream and butterscotch,
  warm apricot crepes and goat cheese pudding.
Sticky toffee pudding with butterscotch sauce and double cream.
During that episode, characters talk about butterscotch and tapioca pudding and
  end the show eating chocolate.
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