Green’s Dictionary of Slang

(orig. US) to make a witty retort or a smart comment, to make a joke at someone else’s expense; thus wisecracking n.

1911		implied in wisecracking adj.
1919		A. Baer Two and Three 15 Mar. [synd. col.] Name some other town where a wise cracking bird could mix up glue and talcum powder and sell the answer for aspirin.
1932		(con. 1910s) J.T. Farrell Young Lonigan in Studs Lonigan (1936) 39: Bill’s a loogin who always tries to wisecrack.
1935		D. Lamson We Who Are About to Die 75: There was no talking, no wise-cracking — just the feet clumping.
1949		N. Algren Man with the Golden Arm 222: Now let’s hear you wisecrack, wise guy.
1955		B. Schulberg On the Waterfront (1964) 130: Katie watched him go [...] wise-cracking to his chum out of the corner of his mouth.
1961		M. Braly Felony Tank (1962) 18: A medley of voices grumbled, yawned and wisecracked.
1978		R. Caron Go-Boy! 268: I could just picture them wise-cracking over my corpse.
1999		Guardian Travel 11 Sept. 2: ‘You’ll get used to that,’ wisecracks Tony.
2000		Indep. Rev. 13 Aug. 38: We were wisecracking all afternoon.