A libation such as when wine was spilt on a grave in ancient times to honor the departed.
Modern tip out libations involve spilling a portion of beverage onto the ground, floor, street etc. The beverage is usually of a malt variety commonly distributed in 40 ounce glass containers. This is done to acknowledge dead friends, relatives, or fellow gang members who usually met their demise in a violent manner.
Premise: Vlad and Skee are members of a Polish street gang called Dummazzez. Vlad has just returned from a beer run...
Skee: St. Ides! Pass the Sunny-D so I can get my brass monkey on. (Skee begins to chug his 40)
Vlad: Not cool tovarich, are you so dumb that you forget commrad Moosnsquirrel already? The Crazy Macedonians snapped his neck. We must perform tip out to honor him. (Both spill a bit of Ide's)
Vlad: OK, now we get hammered.
Skee: Yes tovarich, very tragic the Macedonians bet Mooz that he couldn't kiss his own ass.
to walk out or to leave a place
"Yo, let's tip out of here before the police come".