Parents in northern Italy wore elf outfits and gave out sweets to reassure young children that Christmas was a magical time.
Mayor of Antey-St-Andre, Mario Bertuletti, said that: "There were five or six of them dressed up as elves, chanting 'We are the elves of Babbo Natale [Father Christmas].
"It was rather absurd."
The parents also started a petition calling on the bishop to review the appointment of priests and lay teachers, according to The Daily Telegraph.
One of the parents who dressed up, Davide Li Veli, said that: "We don't think it's right that they should be allowed to destroy children's dreams like that.
"We're very sorry to think that there are adults who have forgotten how important the figure of Father Christmas is to children.
"As well as that, the priest told them that if they didn't go to Mass they would be committing a mortal sin."
Mayor Bertuletti said that the priests had not meant to upset children: "They were simple explaining the difference between Jesus Christ and Father Christmas.
"Somehow that was interpreted by parents as them saying that Father Christmas did not exist."
The priest, Fr Zbigniew Kowalczyk, said because he is Polish he explanation in Italian may not have come across clearly.