Lightly spray an 8 x 8-inch pan with non stick butter or regular cooking spray and set aside.
In a medium sized heavy bottomed sauce pan combine sugar with corn syrup, butter flavoring and condensed milk. Stir mixture over low heat until sugar has dissolved. Increase heat to medium and continue to cook stirring frequently until mixture reaches 234 to 238 degrees on candy thermometer. (soft ball stage) Remove from heat and stir in vanilla and pour immediately into prepared pan.
Cool to lukewarm and mark in 1-inch squares using a knife sprayed with cooking spray.
Spray a teaspoon lightly with cooking spray and scoop 1 heaping teaspoon of caramel onto a 4 x 5-inch square of waxed candy papers. Roll paper jellyroll fashion and twist ends to seal. Store in a cool dark place for several weeks.