We were assessed an $8 underpayment penalty even though our refund is greater than we paid in estimated payments. Can we avoid paying the penalty?

[Mike9241]

there can be several different reasons for a penalty, even if you are getting a refund.

1) A payment of estimated tax was not timely.

2) 1/4 of your annual withholding + timely estimated tax payments were less than 25% 0f the minimum required payment for each period

rather than using 1/4 of annual withholding for each period, the default,  you can check box D on the 2210 and enter actual withholding for each period to see if this reduces or eliminates the penalty.