You are not missing something, it has been changed. You can no longer capture any part of a castle or city except the gates themselves. Note that this does not include the gatehouse towers. All city and castle towers will continue to fire arrows while any friendly unit is nearby. If you want to silence the towers, you need to kill or run off any nearby enemy unit. Even after that is done, there is no possible way to gain control of the towers yourself and have them fire at the defenders.
The upside of this is that towers on an undefended section of wall will not fire at you. So, a city defended by one unit of peasants can no longer burn siege towers attacking multiple gates.
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