Yes, it's a hot dress with the right person wearing it. It runs a pretty good balance between looking sexy while staying in the classy/sophisticated area. Short, but not too short. Shows some skin, but not too much. Being in white breaks it out of the typical LBD mould, so that's a plus for a Christmas thing.
The amount of 'sexy' is going to be totally dependant on what else you do with it. You could really dress it down if you wanted to be more demure. Or glam yourself up to make it seem sexier. I like it. A lot more flirty and fun than an evening gown, but a lot more 'family is coming over' appropriate than a lot of cocktail dresses.
It's sexy but I don't think it's inappropriate. It covers what needs to be covered. So yea if you want to wear it sure go ahead. Not to a churchy type event but any where else I think is fine. You can wear a shawl or something over it if you feel it's too much.