I puzzled a bit over this one, but found this in the program help under carriage returns (go figure- don’t know HOW I found it):
This setting is in the
Hanging indent options include: None, All Paragraphs, First Paragraph Only, Second Paragraph Only, and All Paragraphs but the First. The following is an example of when you would use Second Paragraph Only. The style requires that authors begin on the left margin, and then the year (and the rest of the reference) starts on a new line and is indented. The style applies a hanging indent to the second paragraph only, and inserts a tab before and after the year. In the word processing document, the spacing for the hanging indent should be aligned with the second tab stop.
So, if I set the output style bibliography to Hanging 2nd paragraph and the (for example- Journal) template has
Author (Year). (paragraph break)
(tab)Title. Journal| Volume|, Pages|.
the correct output (but I couldn’t easily cut and paste it here, so I deleted it!) The place to set the hanging indent to 2nd paragraph in the output style is in the attached gif.