Slang for somewhere very far away, most commonly referring to somewhere on the edge of town. Sometimes used to describe somewhere just outside of town, such as a suburb.
Guy 2: Naw, I doubt it man. Vernon lives in the cuts and I'm not tryin' to get stuck there. Call me if it's crackin' though.
Person 2: "Hell yeah, we in "the cut"
Person 1: "Fuck! I just got stuck with a thorn!
Person 2: "THE CUT!!!!"