The spaces are added by TinyMCE. You can change it by TinyMCE options remove_linebreaks and apply_source_formatting.
Alex, your solution does not work. Could you confirm it?
This is my configuration:
theme="advanced" mode="textareas" theme_advanced_toolbar_location="bottom" theme_advanced_toolbar_align="left" plugins="fullscreen" theme_advanced_buttons1="formatselect,fontselect,fontsizeselect,bold,italic,underline,strikethrough,|,justifyleft,justifycenter,justifyright,justifyfull,|,numlist,bullist,outdent,indent,|,backcolor,forecolor,removeformat,|,undo,redo,|,fullscreen,|,link,unlink,|,code," theme_advanced_buttons2="" theme_advanced_buttons3="" gecko_spellcheck="true" apply_source_formatting="true" remove_linebreaks="true"
Please try to set
Nothing has changed.
I'm not sure if these options work. I do not see any difference after changing from true to false.
However, I am sure that the config is loaded because the changes in the buttons and plugins work.