Learn the mechanics.
-Thief stealing has chance to be spotted by guards, in which case they will say some text. If caught by guards(IF!), they are unprotected, and thus killable(only ONE time, though, which means he is fine after the murder if his reputation is still high enough to be protected by the town upon his future visit).
-If the thief skill check is high enough, he can pass and guards do not see, thus leaving him protected and you the attacker in the guards eyes.
-Logical way that stealing works, however, the downside most likely remains that they only die one time and are protected again. Was Hoping that shit would be fixed this wipe, as stealing is an irritating, cheap way of living in towns, with no fucking downside to it(kinda like HH and SD...)