The Lord of The Ring star says the American Idol judge is comfortable wearing women's clothing and often raids her belongings to find garments that he likes.
"My dad wears girls' clothes - it's so funny. And sometimes I see him and I'm like, 'Nice shirt!', because it's from my closet," she tells New York magazine.
Liv also praises her dad's contribution to American Idol, saying that it made her "really proud" of him.
"I speak his language," she explains. "I understand what he's talking about. I feel really proud of him. I think he's a really amazing, magical man and all those funny things that he says that people find so strange, my whole life I've been hearing them and they make me laugh."
Source: New York magazine