With regards to lines and the consequences of crossing/not crossing them, I'll say that in terms of creating fiction, there's no actual danger when it comes to crossing lines. My personal stance is that the only time crossing into taboo or unsavory topics in fiction is wrong is if the creator is either actively promoting something that's harmful in the real world, or if the creator is crossing lines just for the sake of it, and even then those are two different kinds of wrong. The first is actually morally wrong on some level. Like if the hero of a story is actively being lauded for abusing animals and was uncritically framed as being right and noble for doing so. The second is wrong in the sense that it's probably going to make for a bad product, since if a creator is going to just throw in distateful, off-putting stuff simply because they can, that's a sign of a lack of sophistication and consideration. While I find the passion people have for being able to kill everything in a game to be frankly baffling, I don't think being able to kill both goblin and tiefling kids really falls into either of the two categories. You aren't actively being celebrated for killing the kids specifically, and for all my issues with Larian storytelling, this game doesn't tend to revelin being crude and distasteful just for the sake of it.