As the unofficial guide was made under Windows I suspect that CR + LF does work. So you might try to switch the Line Endings parameter in your editor to that.
Note: You might want to include some special characters into your example data to test if UTF-8 is the correct encoding; the encoding that’s been used to interpret the data also.
Also simple text files don’t have a mechanism to to signal their encoding. That is why exchanging text based files with other OS’s often leads to problems (line endings and character set (encoding)). If the lyric text is embedded in music files and the metadata standard in use allows for signaling the encoding or has a predefined encoding one should make sure that the lyrics match that encoding. Sadly this does not include the line ending convention in use.
I’m not a Mac user so I can’t test this but copying data to another program might change the line endings again.
You can also just wait and see what Roon Labs comes up with as solution: