Oh, wait--
I forgot my obligatory reference to my fantasy "Jim Henson Collection" DVD box set, which would feature numerous shows and commericals and short films from Jim Henson--if we can't get "The Christmas Toy" otherwise, it would fit into that set, with all the great Jim Henson productions that don't seem likely to see release on their own (like Time Piece, The Cube, La Choy Dragon ads, Wilkins ads, non-Storyteller segments from the Jim Henson Hour, assorted specials and such).
Maybe if I keep mentioning this dream set someone will actually give it to us.
(And Bear, personally I try to avoid ebay, but for the legitimate VHS release of this I'm tempted.)