diff -r 74144b0e7858 Lib/idlelib/EditorWindow.py
--- a/Lib/idlelib/EditorWindow.py	Sun Mar 16 13:55:19 2014 +1000
+++ b/Lib/idlelib/EditorWindow.py	Tue Mar 18 09:27:45 2014 +0800
@@ -1388,6 +1388,8 @@
             # indentation of initial line of closest preceding
             # interesting stmt.
             indent = y.get_base_indent_string()
+            if self.context_use_ps1 and y.is_first_line_continuation():
+                indent = ' ' * len(sys.ps1.split('\n')[-1]) + indent
             text.insert("insert", indent)
             if y.is_block_opener():
                 self.smart_indent_event(event)
diff -r 74144b0e7858 Lib/idlelib/PyParse.py
--- a/Lib/idlelib/PyParse.py	Sun Mar 16 13:55:19 2014 +1000
+++ b/Lib/idlelib/PyParse.py	Tue Mar 18 09:27:45 2014 +0800
@@ -358,6 +358,7 @@
 
         # Set p and q to slice indices of last interesting stmt.
         str, goodlines = self.str, self.goodlines
+        self.isfirstlinecont = str.count('\n') == 1
         i = len(goodlines) - 1
         p = len(str)    # index of newest line
         while i:
@@ -588,3 +589,9 @@
     def get_last_stmt_bracketing(self):
         self._study2()
         return self.stmt_bracketing
+    
+    # Is this a continuation of the first line after a prompt?
+    def is_first_line_continuation(self):
+        self._study2()
+        return self.isfirstlinecont
+        
diff -r 74144b0e7858 Lib/idlelib/PyShell.py
--- a/Lib/idlelib/PyShell.py	Sun Mar 16 13:55:19 2014 +1000
+++ b/Lib/idlelib/PyShell.py	Tue Mar 18 09:27:45 2014 +0800
@@ -866,9 +866,6 @@
         OutputWindow.__init__(self, flist, None, None)
         #
 ##        self.config(usetabs=1, indentwidth=8, context_use_ps1=1)
-        self.usetabs = True
-        # indentwidth must be 8 when using tabs.  See note in EditorWindow:
-        self.indentwidth = 8
         self.context_use_ps1 = True
         #
         text = self.text
@@ -1265,6 +1262,8 @@
         source = self.text.get("iomark", "end-1c")
         if self.history:
             self.history.store(source)
+        if self.text.get("end-1c linestart", "end").strip() == "":
+            self.text.delete("end-1c linestart", "end")
         if self.text.get("end-2c") != "\n":
             self.text.insert("end-1c", "\n")
         self.text.mark_set("iomark", "end-1c")