The study was intended to prove that balance in the fiqih and tasawuf understanding could improve religious conflict between religious people and Indonesia's growing tolerance crisis. By taking case studies in multiple multireligious environments in the province of Yogyakarta and supported by a quantitative and qualitative method, the study shows that intolerance occurs because of some factors that can be argued without first finding out where the issue is based, there is no good communication between religions that cause misunderstandings and generalize the nature of a religion based on the one trait of the class in which it leads to the wrong perception. Moreover, when Muslims automatically performed fiqih and tasawuf in their equilibrium, they had moderate Islamic understanding, which placed tolerance as the fruit of applying such understanding.
Keywords: Toleration, Fiqh, Tasawuf, Religious Conflict.