diff --git a/plugins/extensions/pykrita/plugin/plugins/scripter/ui_scripter/editor/pythoneditor.py b/plugins/extensions/pykrita/plugin/plugins/scripter/ui_scripter/editor/pythoneditor.py
--- a/plugins/extensions/pykrita/plugin/plugins/scripter/ui_scripter/editor/pythoneditor.py
+++ b/plugins/extensions/pykrita/plugin/plugins/scripter/ui_scripter/editor/pythoneditor.py
@@ -5,6 +5,8 @@
 from scripter import resources_rc
 
 
+INDENT_WIDTH = 2 # size in spaces of indent in editor window. Window is small so 2 rather than 4
+
 class CodeEditor(QPlainTextEdit):
     
 
@@ -30,6 +32,7 @@
         self.debugArrow = QIcon(':/icons/debug_arrow.svg')
         self.setCornerWidget(QLabel(str()))
         self._documentChanged = False
+        self.indent_width = INDENT_WIDTH # maybe one day connect this to a setting
         
         self.undoAvailable.connect(self.setDocumentModified)
         
@@ -152,12 +155,96 @@
                 self.zoomIn()
         else:
             super(CodeEditor, self).wheelEvent(e)
+            
+            
     def keyPressEvent(self, e):
         if (e.key() == Qt.Key_Tab):
-            self.textCursor().insertText("    ")
+            self.indent()
+
+        elif e.key() == Qt.Key_Backtab:
+            self.dedent()
+        
         else:
             super(CodeEditor, self).keyPressEvent(e)
+
+    def isEmptyBlock(self, blockNumber):
+        """ test whether block with number blockNumber contains any non-whitespace 
+        If only whitespace: return true, else return false"""
+        
+        # get block text
+        cursor = self.textCursor()
+        cursor.movePosition(QTextCursor.Start)
+        cursor.movePosition(QTextCursor.NextBlock, n=blockNumber)
+        cursor.movePosition(QTextCursor.StartOfLine)
+        cursor.movePosition(QTextCursor.EndOfLine, QTextCursor.KeepAnchor)
+        text = cursor.selectedText()
+        if text.strip() == "":
+            return True
+        else:
+            return False
+        
+ 
+    def indent(self):
+        # tab key has been pressed. Indent current line or selected block by self.indent_width
+        
+        cursor = self.textCursor()
+        # is there a selection?
+        block = cursor.blockNumber()
+        
+        selectionStart = cursor.selectionStart()
+        selectionEnd = cursor.selectionEnd()
+    
+        cursor.setPosition(selectionStart)
+        startBlock = cursor.blockNumber()
+        cursor.setPosition(selectionEnd)
+        endBlock = cursor.blockNumber()
+
+        cursor.movePosition(QTextCursor.Start)        
+        cursor.movePosition(QTextCursor.NextBlock,n=startBlock) 
+        
+        for i in range(0, endBlock-startBlock+1):
+            if not self.isEmptyBlock(startBlock+i): # Don't insert whitespace on empty lines
+                cursor.movePosition(QTextCursor.StartOfLine)
+                cursor.insertText(" "*self.indent_width)  
+            
+            cursor.movePosition(QTextCursor.NextBlock)
+               
+        # QT maintains separate cursors, so don't need to track or reset user's cursor
+
+
+    def dedentBlock(self, blockNumber):
+        # dedent the line at blockNumber  
+        cursor = self.textCursor()
+        cursor.movePosition(QTextCursor.Start)
+        cursor.movePosition(QTextCursor.NextBlock, n=blockNumber) 
+
+        for i in range(self.indent_width):
+            cursor.movePosition(QTextCursor.StartOfLine)
+            cursor.movePosition(QTextCursor.Right, QTextCursor.KeepAnchor)
+            if cursor.selectedText() == " ": # need to test each char
+                cursor.removeSelectedText()
+            else:
+                break # stop deleting!
+            
+        return 
+            
+    def dedent(self):
+        cursor = self.textCursor()
+        selectionStart = cursor.selectionStart()
+        selectionEnd = cursor.selectionEnd()
+    
+        cursor.setPosition(selectionStart)
+        startBlock = cursor.blockNumber()
+        cursor.setPosition(selectionEnd)
+        endBlock = cursor.blockNumber()
+        
+        if endBlock < startBlock: 
+            startBlock, endBlock = endBlock, startBlock
+        
+        for blockNumber in range(startBlock, endBlock+1):
+            self.dedentBlock(blockNumber)
         
+ 
     @property
     def font(self):
         return self._font