diff --git a/markdownify/__init__.py b/markdownify/__init__.py
index dd2507d..5cbf95f 100644
--- a/markdownify/__init__.py
+++ b/markdownify/__init__.py
@@ -244,8 +244,8 @@ def escape(self, text):
             text = text.replace('_', r'\_')
         return text
 
-    def indent(self, text, level):
-        return line_beginning_re.sub('\t' * level, text) if text else ''
+    def indent(self, text, columns):
+        return line_beginning_re.sub(' ' * columns, text) if text else ''
 
     def underline(self, text, pad_char):
         text = (text or '').rstrip()
@@ -346,7 +346,7 @@ def convert_list(self, el, text, convert_as_inline):
             el = el.parent
         if nested:
             # remove trailing newline if nested
-            return '\n' + self.indent(text, 1).rstrip()
+            return '\n' + text.rstrip()
         return '\n\n' + text + ('\n' if before_paragraph else '')
 
     convert_ul = convert_list
@@ -368,7 +368,12 @@ def convert_li(self, el, text, convert_as_inline):
                 el = el.parent
             bullets = self.options['bullets']
             bullet = bullets[depth % len(bullets)]
-        return '%s %s\n' % (bullet, (text or '').strip())
+        bullet = bullet + ' '
+        text = (text or '').strip()
+        text = self.indent(text, len(bullet))
+        if text:
+            text = bullet + text[len(bullet):]
+        return '%s\n' % text
 
     def convert_p(self, el, text, convert_as_inline):
         if convert_as_inline:
diff --git a/tests/test_lists.py b/tests/test_lists.py
index ecc1a65..a660778 100644
--- a/tests/test_lists.py
+++ b/tests/test_lists.py
@@ -47,10 +47,11 @@ def test_ol():
     assert md('<ol start="-1"><li>a</li><li>b</li></ol>') == '\n\n1. a\n2. b\n'
     assert md('<ol start="foo"><li>a</li><li>b</li></ol>') == '\n\n1. a\n2. b\n'
     assert md('<ol start="1.5"><li>a</li><li>b</li></ol>') == '\n\n1. a\n2. b\n'
+    assert md('<ol start="1234"><li><p>first para</p><p>second para</p></li><li><p>third para</p><p>fourth para</p></li></ol>') == '\n\n1234. first para\n      \n      second para\n1235. third para\n      \n      fourth para\n'
 
 
 def test_nested_ols():
-    assert md(nested_ols) == '\n\n1. 1\n\t1. a\n\t\t1. I\n\t\t2. II\n\t\t3. III\n\t2. b\n\t3. c\n2. 2\n3. 3\n'
+    assert md(nested_ols) == '\n\n1. 1\n   1. a\n      1. I\n      2. II\n      3. III\n   2. b\n   3. c\n2. 2\n3. 3\n'
 
 
 def test_ul():
@@ -63,6 +64,7 @@ def test_ul():
      <li>   c
      </li>
  </ul>""") == '\n\n* a\n* b\n* c\n'
+    assert md('<ul><li><p>first para</p><p>second para</p></li><li><p>third para</p><p>fourth para</p></li></ul>') == '\n\n* first para\n  \n  second para\n* third para\n  \n  fourth para\n'
 
 
 def test_inline_ul():
@@ -75,11 +77,11 @@ def test_nested_uls():
     Nested ULs should alternate bullet characters.
 
     """
-    assert md(nested_uls) == '\n\n* 1\n\t+ a\n\t\t- I\n\t\t- II\n\t\t- III\n\t+ b\n\t+ c\n* 2\n* 3\n'
+    assert md(nested_uls) == '\n\n* 1\n  + a\n    - I\n    - II\n    - III\n  + b\n  + c\n* 2\n* 3\n'
 
 
 def test_bullets():
-    assert md(nested_uls, bullets='-') == '\n\n- 1\n\t- a\n\t\t- I\n\t\t- II\n\t\t- III\n\t- b\n\t- c\n- 2\n- 3\n'
+    assert md(nested_uls, bullets='-') == '\n\n- 1\n  - a\n    - I\n    - II\n    - III\n  - b\n  - c\n- 2\n- 3\n'
 
 
 def test_li_text():