John Hensley always says to try and keep your wording natural, as if you would say it aloud, so taking that approach I'll break down your verse.

Punches? You out, imma bust this dudes clout
Hes why refleccz stay around
.................................................. ..... yah dime put bags in Qs mouth

Firstly I don't even get the concept but anyway. The setup is poor. Who would say that? And the punches part has no relevance to the rest of the line. Reword to something like:
Dude's a faggot, when gays come about he shouts
Refleccz only stays around cos dime puts bags in Q's mouth

Musta had a time lapse, in the 80's you wouldn't rhyme wack
The mags off, I squirt in a bitch eye, and I beat a dime bag

I don't get this concept again. The setup is terrible again though, no relevance to anything.
I peeped what Kemp said, claimin I'd rhyme whack
But the mags off, I squirt in a bitch eye...'n beat a dime bag

Dime a silly fagget, next mag see what you really rated
After this ko, you can join my first week, and be crime affiliated

Once again I don't get the concept. The setup was better though.
Dime your a silly fag, in the next mag see how you're really rated
So after this KO, join my first week...'n be crime affiliated

You a funny gay, we all know that sonnys lame
Its party cloudy, and today just aint a sonnys day

Cool concept, wording was bad though.
Sonny rains whack, 'n his concepts are mad played
It's partly cloudy...which explains why today ain't Sonny's day.