The fourth-generation model was released in March 1979 in Japan,[3] and was the last generation to have the entire lineup in rear-wheel-drive configuration.

A more extensive facelift was given for 1982, involving a new sloping nose with wraparound headlights, remodeled taillights and new bumpers, which on some models were rubber moulded.

From August 1983 (subsequent to the changeover to front-wheel drive for the rest of the range) the Corolla Van received a new 1.5-litre 5K-J engine as well as a light restyling, and also a roof raised by 45 mm (1.8 in).

[7] It also received seats that could be folded nearly flat to make the car beddable, and continued in production until being replaced by the 90-series Corolla Van/Wagon in August 1987.

[10] The Levin continued as a coupé, with the equivalent specification four-door sedan and two-door hardtop called the Corolla GT.

After the introduction of the front-wheel drive E80-series Corolla, the Van range received a facelift and a new set of chassis codes (KE72V, KE74V, CE71V).

[16] A special edition sedan called the "Corolla Spirit" arrived in early 1984; it received a boot spoiler, the 1.6-litre engine, chromed wheel trim, stripes, and some additional equipment.

Due to their peculiar emissions regulations, the most powerful engine available to a Swiss and Swedish Liftback buyer was the 1,770 cc 3T unit, producing 80 PS (59 kW) in 1983.

[21] This generation of Corolla was marketed in many Asian countries and was also locally built in Indonesia, Malaysia, Thailand, and the Philippines.

Win Percy won the 1982 British Saloon Car Championship driving an E70 series Toyota Corolla GT.