Postcolonial democratic deepening brings new challenges to religion as a social imaginary in India. Increasing cultural differentiation and pluralization are countered by fundamentalization, but also challenge existing minority/multicultural imaginations. Religion, as the overarching identity category, has come under scrutiny given the politicization of caste among Muslims, who form the country’s most significant religious minority. Through social-justice and anti-caste politics in the 1990s, lowered-caste Muslims started to enact a new identity named Pasmanda, which means “those who have been left behind”. The Pasmanda discourse emphasizes internal heterogeneities and hegemonies and pluralizes the “Muslim”. It thus ruptures the imaginary of Muslims as a homogeneous minority in a culturally diverse country and problematizes the majority–minority framework. An important site of contestation is the reservation (quota) policy in public employment, education, and the legislature. While privileged-caste Muslims generally prefer a quota based on religion, the lowered-caste Pasmanda Muslims increasingly mobilize for a caste-based quota, thus challenging systems of recognition and redistribution.