Preheat oven to 350 degrees F. Spray a mini muffin tin with Pam Baking Spray.
Pour half the can of diced tomatoes into a strainer and let sit to remove liquid.
Place butter in a small saucepan over medium heat. Melt, then add peppers and onion and cook for 7-8 minutes, until soft. Stir in taco seasoning and set aside.
While peppers are cooking, whisk together eggs and milk thoroughly. Add in half the grated cheese and whisk again.
Spoon a small amount of peppers into each muffin cup. (About 1/2 teaspoon)
Measure out 1/2 cup cup tomatoes from the drained portion. Spoon a small amount of diced tomatoes into each muffin cup. (about 1 teaspoon)
Whisk egg mixture once more, then pour until each muffin cup, filling it nearly full. Top each muffin cup with remaining cheese.
Bake for 17-20 minutes, until egg bites are puffed up. Remove from heat. Let cool 5 minutes, then remove each egg bite from the muffin tin, using a slim knife run around the edges, if needed.
Enjoy! Store leftovers in an airtight container. Egg Bites can be frozen and reheated later on.