I want to clear out my tails, dont know if its been done before, here is a photoshop'd pic of my car with it, quick and dirty.

Is this legal? if so, is it possible? would i use the same method of removing the amber to make it clear?

dont think that would be legal anywhere.
there are clears you can buy for the 95-96 not sure if those work for your car.
let the flames begin

Not legal, need reflectors (back and side). Even Altezzas (at least gen 1, dont know about gen 2) are illegal. You can try it, if the bulbs are red, amber, white (back up), you shouldn't have any problems at night (unless a cop car is right behind you). I always have my lights on, maybe you can try that during the day or something.

The red in the taillights is the color of the lens, not an insert underneath you can take out. Nothing you can do to change it except custom-mold your own taillight lens.