Is government and institutions spreading differences on the basis of religion

i dont know much about the world but as far as i know about India, wherever we have to enroll for schools,colleges,rto office,passports,pan card,banks. or whatever at all places we have been asked to fill our religion. so what do you feel, is it necessary ???...dont you think it promotes differences on the basis of religion..i think to stop religional differences the government should first stop this...