Pour vinegar and water in small saucepan. Add salt, sugar and lemon peel. Bring to a boil, stirring to dissolve sugar and salt. Remove from heat. Let cool 20 minutes.
Pierce each tomato 2 times with a slender wooden skewer. (I interpreted this as take a toothpick and run it through.) Toss tomatoes, dill, garlic and red pepper in a large bowl. Add cooled vinegar mixture. Let stand at room temp at least two hours and up to eight hours.