When typing a message in Outlook 2011 for Mac, indented paragraphs (created using the tab button) show as they should before sending, but in my sent items folder, and in some recipient's inboxes, no paragraphs are indented. Is there a format setting I'm missing. I can't find anything in preferences.

You might have better luck using Word 2011 as your email editor. In Word, switch to Web Layout view and compose your message. When ready to send, use File > Share > Email as HTML.

Thank you for the help, but I'm not sure how to use Word 2011 as a mail editor in Outlook for Mac, can you help further?

Thanks, Jeff