Paradox of tolerance
en.wikipedia.org
en.wikipedia.org
This doesn't create a paradox unless you have an impractically broad category of "things that must be tolerated".
The US, via laws and (non-universal) social norms, has more narrowly defined the things that must be tolerated: things that cause no harm to others, where harm includes infringing on someone else's needs, rights, or safety.
Further, our government is more cautious and tolerant than our citizens must be. Citizens may treat people differently based on whether they're Nazis or not. The government may not.
This seems like the best and fairest system that's possible at the moment. The implementation is imperfect, of course.