Have you ever considered recessing your stock CJ/YJ/TJ tail lights? You see the round bulb or LED lights on Jeeps. However, you then have to add an additional light for the backup lights. In this case, Andrew was looking to make room for his trail rack to mount to his bumper as well as to make the tail lights more protected from trail hazards. He also liked the cost effectiveness and looks of the stock lights. So, he recessed the stock lights.

The first step is to mark around the stock assembly as shown in the picture below in red. Also shown are 3 of the 4 tabs that need to be removed in order for the assembly to be pushed back into the sheet metal so that it sits flush. (This is shown on my YJ, but this was done on Andrew's TJ.)

To remove the assembly, first remove the 4 screws holding on the plastic lens. Then, you'll see 3 screws inside the housing that hold it onto the sheet metal. Remove these 3 screws.

Once the assembly has been removed, you can use a dremel or jig saw to cut around the outline that you previously marked. On a TJ, the passenger side has to be moved slightly towards the bottom so that the tail light clears the upper tailgate hinge. On the drivers side, moving the light slightly upwards will mean that less of the license plate holder will have to be trimmed.

Once the hole is cut, keep test fitting the tail light and doing more grinding until the whole assembly fits into the hole.

Next, you need to make a ground wire from one of the original screw holes on the back of the assembly to somewhere on the body. (Before, the screws themselves made the electrical contact.)

You also need to make 4 small holes corresponding with the outer lens as those screws are going to be used to attach everything to the body.

When all that is done, Andrew put a bead of silicone around the edge, pushed the assembly into the hole and tightened the 4 screws.

Below shows the drivers side tail light completed. Notice the trimming done to the license plate holder.

Below is the passenger side...notice the upper tailgate hinge. This is why you need to move this light slightly downwards for clearance.

As with any recessed light, there are issues. The first one is that there is no longer a light for the license plate. Also, there is no longer a side marker reflector/light for the rear of the vehicle.

I think the lights look great, they were free and did what they were supposed to do.