My wife was never a JW and she LOVES Christmas. When the kids were born, she wanted to go with the whole Santa story. I didn't argue.
But deep down inside, it really bothers me. Not because of JW teachings so much (pagan origins, etc), but because I really don't like the idea of teaching my kids a lie. Even with religion, when it comes up, I'm usually careful to say things like "some people believe...". And I also try to give the other points of view too. My biases may show through, but I am giving them a choice.
What sort of precedent do lies about Christmas set? Are they going to believe me when I teach them that smoking or drugs are bad? Or are they going to learn not to trust their parents? Is it any different than our parents teaching us that 144,000 are going to heaven? The difference, I guess, is that our parents believed it too. But it's still BS and it ticks most of us off to find out we learned and believed BS.
As it stands now, for my 5 and 6-year-old, I am dropping hints. I have asked them whether Santa really brings them gifts or do they think it's really mom and dad buying the gifts and pretending like Santa left them? So far, they have chosen Santa, but my oldest has started to believe that maybe I am really Santa. Or that every dad is Santa for their family - that every dad has a Santa suit hidden in their closet. I'm not going to tell her what she's right or wrong about just yet. But she's thinking and I'm not trying to lie to her.