What, religious data? Are you serious? That's one of the most critical things they can track about their citizens.
Let's say your town has a lot of pig farmers. The pig farmers are afraid their business is diminishing. So they lobby the local government to put a tax on chicken and beef, to encourage more pork consumption. Which local officials might be inclined to do for economic reasons. But then you collect religious data, and it turns out 50% of the population is Jewish, Muslim, and Hindu. So half the population now has to pay a tax, which is effectively a tax on their religion, because their religious belief says they can't eat pork.
This is a made up example, but the point is that you need to know about your citizens so you can make just laws that respect those citizens (and encourage businesses, job training, etc based on demographics). It's why we have a census.
Surely you know the history being referenced here.
Laws aren’t made that way and laws made that way usually aren’t good. Like a farmer writing rules for people in the city or vice versa purely based on what they think the other side wants.
It’s much better if the farmers directly tell you what they want and the city folk tell you what they want and together they figure it out.
Census details is great for understanding long term trends. It’s not to be used directly for decision making, even if the intention is good, and the intentions have also been very bad.