Check it out ... fans favorites like Katy Perry, Shaboozey and Benson Boone, among others, stepped out Friday night for the annual event. This year, the holiday concert took place at Madison Square Garden in NYC ... and brought out a number of notable celebrities.

As we mentioned, Katy made an appearance, posing for photogs in a jaw-dropping silver gown ahead of her highly anticipated performance.

Benson, who has made a splash with his "Beautiful Things" anthem, was literally flipping for joy on the red carpet ... doing his signature stunt before taking to the stage at MSG.

Meanwhile, Shaboozey chose to rock a Canadian tuxedo for his moment in front of photogs ... though, it was not quite the seasonal garb we were hoping for, it still worked for the singer.

Of course, they weren't the only notable stars in attendance ... as Martha Stewart, The Kid LAROI, Mckenna Grace and more hit MSG for the big show.