Tabs are horrible - avoid like the plague!

Also, how are you terminating your lines - CR, LF, LFCR, or CRLF.

You need to use CRLF for it to work properly in a PC text file.

Note that hypoterminal (like other terminal emulators) has options for whether it treats a received CR as CRLF, etc, but the Capture file records only the characters actually received.