I would suggest the Old Angler's Inn for a very romantic and excellent Christmas eve dinner. It is about a 30 minute drive outside the city so if you have a car, it is great. It has pretty fireplaces and it is almost as old as Washington itself. It has fantastic food and great atmosphere.

If you cannot leave the city due to transportation reasons, I would also recommend 1789.

My favorite restaurant in the city is actually Two Quail in Capital Hill, but it would only be $150 or so for two and you said money is no object so go for Old Angler's Inn.

By the way, Washington has tons of great restaurants but you have to pay for them. So Bedi, if you went to some of DC's high quality restaurants, you would never ever say Baltimore has better choices.