Take the piss
What it really means
A ruder version of "taking the mickey" — making fun of someone. It can also mean treating someone unfairly: "£8 for a coffee? They're taking the piss." Contains a mild swear word, so avoid it in polite settings.
Context, tips & common mistakes
Two meanings share the phrase. Taking the piss out of someone is mocking them — the affectionate national sport when done among friends. Something taking the piss is exploiting unreasonably: '£4 for a small coffee? They're taking the piss.' You will hear both daily.
Register is the catch: 'piss' makes it too coarse for formal settings, customer-service conversations or people you have just met — the sanitised versions 'taking the mickey' or 'taking the michael' do the same jobs politely. If someone takes the piss out of you, the winning response is a grin and a comeback, not offence; visible hurt makes everyone uncomfortable, since (between friends) the mockery was almost certainly a sign of acceptance.