Oh there were so many I wanted to quote!!
I feel like maybe there needs to be a happy medium. Anyone who says they never so no is not telling the truth. Sometimes you are going to the bathroom. Sometimes your driving the car. Sometimes you are in the shower. Sometimes you just CANT DO IT.
Also, saying "we'll nurse when Mommy is done ___________" is not saying "NO YOU CANT NURSE EVER" and is perfectly ok, and still falls under CLW. You can set boundaries, just keep them adjustable, as a 2 year old is rarely consistent.
But in answer to your question:
I'll start with this. When he asks "We hit doggies?" instead of responding that hands are not for hitting, you can say "we pet doggies, gentle" and smile and say home much fun it is to pet them. If when they do come in the room he hits them, he needs a discipline (whether it's a firm "NO", or saying "you may NOT hit the doggies, and we will leave the room. You can come back when you will pet them nicely." and then follow through and leave the room. I agree that you need to adress hitting the dogs, because for 1 - we need to be nice and respect animals and people. and 2 - maybe YOUR dog wont bite, but the neighbor's might. He needs to respect animals for his own safety.
He may be needing a more direct answer so he knows what to expect when he hits the dog. by saying "hands arent for hitting", at 2 he might just not get it. Instead you can look scared, and say "Oh no! We dont hit the doggies because that will hurt them! we pet them and use our hands gently" and then smile and look loving while you demonstrate. That usually works well for my daughter.
Adressing the nursing aspect...
There are a few ways you can handle it, it depends which you are comfortable with. Withholding the nursing all together most likely will escalate the situation so I dont recommend it. You can try:
1. Going into another room (he is probably crying at this point, and asking to nurse? Let him nurse and say "I know you are upset, but you may not hit the doggies. When you calm down and can be gentle, we will go back." Completely ignore the nursing and dont make any connection to the discipline at all. They are seperate things. The punishment for hitting is leaving the room in a sort of "time out" to calm himself down and allow him to think about why we don't hit dogs. Even if you nurse, you are still away from the dogs and as long as you reiterate that, you're good.
2. Take him in the other room and when he asks to nurse say "You may nurse AFTER you calm down. When you calm down we can talk." Show him how to take a deep breath and then let him nurse. Still make a point of explaining right away why we don't hit the doggies.
3. Take him int he other room, show him how to take a deep breath and say "When you calm down we will talk, because I am not sure what you want when you are crying, you need to tell me." (He'll probably then tell you he wants to nurse) and you can say "You may nurse, but first you need to show me your gentle hands. We do not hit the doggies." That way, you dont feel like you nursed as a reward for hitting the dogs, and you've made the line clear that he can't nurse his way out of a discipline, so to speak.
It is OKAY for children to get upset at times, especially over a discipline, however gentle or harsh it may be. This is how children learn to explore and eventually deal with their own emotions. Of course, you dont want to create a situation where the initial problem is lost because he's so upset about nursing, so see which approach works best for you.
By making him leave the room you are not in anyway being harsh. I am all for gentle parenting, and practice it with my daughter. But like every parenting style, there isnt one right way to do it and you have to find what works for you. My daughter has at times walked up, screamed at my niece, and socked her in the face. NOT OK. And she has had to have a "time out".
A TIME OUT doesnt mean you have to sit them in a corner by themselves. It can be leaving the room, it can be finding a different activity... it just means take some TIME OUT from what they are doing, because they cant handle it right then. Sometimes I will say "You may NOT hit Lina, that hurts. Let's go pick out a book to read and calm down for a few minutes." At almost 2, thats enough to let her know that what she did isnt ok, and that we can't do it.
Hope that helped a little...