Thank you for clarification, but I'm well aware of the difference between percentile and percentage.
The point was that the level of test which my child got was so low (in fact, it was 1st grade test offered to 2nd graders), that 2 missed questions out of roughly 60 in Reading resulted in 92nd percentile and a single missed questions in Math resulted in 97th percentile, while cutoffs set by our SD set to at least 98th percentile in one subject and 99th percentile in another one. This combination of extra low testing level and extra high cutoffs resulted in a situation that pretty much no one got in because there was virtually no room for errors. I plan to have a conversation with people from our SD gifted office to convince them that this a pretty bad combination and a higher-level testing will be more appropriate. Can someone help articulate those thoughts better?