Thanks Sky. Turning the platen knobs and messing with all the levers was the first thing I tried. I can turn the platen just fine, its only that the carriage return lever doesn't move the platen. Horizontally - yes, turning the paper - no. I guess I'm supposed to manually turn the knobs each time I start a new line? 

I'm probably using the wrong terms here, but whenever I finish typing a sentence on my Smith Corona Sterling and use the carriage return lever, the paper moves horizontally but is not rotated to type on the next line. I checked the spacing lever and flipped it upside down. It needs a good deep clean, but I don't think that's a major factor.
I can tell that the little thing directly connected to the carriage return lever is catching on the first gear, but the gear is simply not moving. Is the gear being blocked by something or is it not catching onto something else?
I will provide photos on request, since I am so new to typewriters I simply don't know what to take a photo of.