The Toyota Corolla E20 is an old car with narrow track width, typical for its era. In Forza Horizon 4, its last appearance before FM, it could be equipped with Wheel Spacers, which brought the track width closer to the body width, making the factory fender flares look like a widebody. Now in Forza Motorsport there is no way to upgrade the track width on any car without using a widebody, so the best option without wheel spacers would be to add a widebody kit for this car, similar in design to the ones found on the Datsun 510 or the Toyota Celica GT from the same era. That widebody should also allow for more tire width upgrades, beyond 225mm in the rear.
Stock Corolla SR5
Celica GT widebody kit