Open Adobe InDesign and create a new document.
In the upper right corner of the document, you should find a palette with a "paragraph styles tab." Click on this tab, then click on the "new paragraph style" button in the lower right corner of the palette box. This will add an undefined paragraph style to the list.
Double-click on the undefined paragraph style to open the "paragraph style options" window. In this window, you will be able to define the paragraph style by name and alter it to numerous specifications using the tab list on the left side of the window. Some features of note:
The "basic character formats" tab defines the font, its size, style, tracking leading and more.
Use the tabs for indents and spacing, tabs and paragraph rules to designate the look of the paragraph, from the indentation of the first paragraph line to how far apart lines and letters should be spaced.
Use the "hyphenation" tab to designate whether you'd like words to be hyphenated when they extend to the next line, or the "justification" tab to automatically space words within paragraphs to uniformly align each paragraph line.