this is a descriptive adjective used to describe a person, someone could use this word to say that someone is a stupid ass shit face (bad scenario), a girl/boy that has a nice ass (sexy scenario), or a just a really good friend (good scenario).
certain people form groups or cliques of these types of schmuzz mitts (usually excluding the bad scenario people from the group).
#BAD SCENARIO; i fucking hate josh, he's a schmuzz mitt
#SEXY SCENARIO; damn, look at the ass on that schmuzz mitt
#GOOD SCENARIO; watzup bro!? Us schmuzz mitts should hang out more