An indented paragraph is one where the space at the beginning of the lines are further from the left edge of the document than the paragraphs above and below. Indentation is generally used for block quotes.
To indent a paragraph, position on the paragraph and press Control + M.
Keep pressing Control + M to increase the indentation.
To move back or cancel an indentation, position on the paragraph and press Control + Shift + M.
If you only want to indent the first line of a paragraph, position at the beginning of the paragraph and press Tab. This is usually performed on every paragraph in a document to emphasize each new paragraph, and is used in particular styles of writing.
Indent a Paragraph in Word
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