In short TOR is short for The Onion Router, and it is used manly to browser the internet anonymously and securely. In order to access the tor network, you will need to download a Tor browser which can be found on their website.
The TOR Network takes your identity and disguises it by routing you and your internet traffic through different servers around the world. All the traffic that goes through the tor network is completely encrypted and can not be traced back to you. If anyone wants to see where your ip is coming from, they will see random TOR nodes and the Tor network and not your computer.
You can read more about how tor network works and what you can use it for at the projects main site. (TorProject.org)
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