Yes, this is still an issue in 14w05a, for hoes at least (I just checked it).
Hoes don't play a break sound when you use up the last point of their durability (0 of x points left) tilling dirt. Other tools (pickaxe, shovel, axe, sword, ...) don't play a break sound or break animation when using the last of their durability attacking a mob, but do both when breaking blocks with them.
Affects version 14w28a as well.
Using code from MCP 9.08 for MC1.7.10 I've been able to correct this in my personal mod with the following changes:
blocks/BlockFence.java
client/renderer/RenderBlocks.java
Sorry to dump this on you - I hope your open to coding changes with actual code examples. I just made a suggestion in reddit/minecraftSuggestions about this very issue.
This same code can be used to fix BlockWall as well.
Note that changes to BlockFence.java/func_149826_e contain some alterations to make fences not connect to melons or hay blocks; exclude that at your preference.