Personally, I think if an attack is sufficiently protected against (eg, Aqua Jet from rank 2 attack vs rank 4 defence with a reflect set up), then the damage should be nullified completely.
On a different note, is there any official way of handling decimal damage? For the most part, refs round, but I've seen some always round a .5 up (as per normal rounding rules) and some alternate .5 between rounding up and rounding down (which is a bit more accurate regarding total damage). I even once had a ref who didn't round at all and I personally support this and have adopted this for my reffings (except for battle hall reffings).
<dogfish44> I got a suprise KFC ^.^
<Glacier> kinky fat chick?