Instants are able to be cast for their sneak cost during the damage step
If you do full control, you are able to cast instants after damage is dealt. I tested with the last ronin's technique, michaelangelo's technique, and jennika's technique. I'd assume kitsune's technique would be the same but hadn't tested yet). Sorceries and creatures seem to be fine, just seems like the instants specifically are allowing this.
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Ondra.Kolar#84251
commented
I agree, it just happened to me in the last game that Kitsune's Technique was activated as a sneak and went through even though the creature was blocked. You can watch this here: https://mtga.untapped.gg/replay/hGURwANoq5bLbEVPmPWXKw?gameStateId=467