We investigate the effect of coarse graining on the thermodynamic properties of a system, focusing on entropy production. As a case of study, we consider a one-dimensional colloidal particle in contact with a thermal bath, moving in a sinusoidal potential and driven out of equilibrium by a small constant force. Different levels of coarse graining are evaluated: At first, we compare the results in the underdamped dynamics with those in the overdamped one (first coarse graining). For large values of the friction coefficient, the two dynamics have the same thermodynamics properties, while, for smaller friction values, the overdamped approximation produces an excess of entropy production with respect to that of the underdamped dynamics. Moreover, for further smaller values of the drag coefficient, the excess of entropy production turns into a loss. These regimes are explained by evaluating the jump statistics, observing that the inertia is able to induce multiple jumps and affect the average jump rate. The periodic shape of the potential allows us to approximate the continuous dynamics via a Markov chain after the introduction of a suitable time and space discretization (second level of coarse graining). This discretization procedure is implemented starting both from the underdamped and the overdamped evolution and is analyzed for different values of the friction coefficient.