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Preheat oven to 350ºF.
Beat cream cheese, 1 cup powdered sugar and lemon juice with mixer until well blended.
Separate dough into 8 rectangles; seal seams. Sprinkle each rectangle with approximately ¼ teaspoon of cinnamon.
Spread cream cheese mixture down middle of each rectangle. Fold each rectangle lengthwise into thirds to enclose filling (bring long edges up to cover cream cheese); cut each into 4 squares. Place, seam-sides down, on baking sheet.
Bake 13 to 15 min. or until golden brown. Cool slightly.
Mix together remaining 1 cup powdered sugar and milk. Spread on top of King Cake Bites and sprinkle with colored sugars.