Seriously you did not find what is the right context behind this verse
First Of all you please understand Quran is a literal word of God ( not imaginary , not inspired but actual) so if God being the creator of this universe and provider and sustainer of this whole word cannot be cruel or unjust ?
God is most Just, most merciful ; so if any day you have iota of confusion that this word or verse is morally wrong , morally unjust then it would be our misunderstanding or shortcoming
When a believer read the Quran its from this perspective
Second God is always in control , if he wanted every one to be believer he would have easily done that, there is a reason we have been given free will and rationality and soul so we can arrive at truth on our own wish ; hence the verse there is no compulsion is Islam
Third when Understanding Quran you have to take the whole book into account , it self says that you cannot take part of one book and reject the other ;
God has given sacredness to human life and hence we have verse which says Killing one unjustly is as if you have killed the whole humanity ( So you cannot go in and attack some one and harm one one that is big NO NO); so if some one is doing it it goes against Quranic teaching be it Muslim or not
this is also how Muslims are asked to come to common term with people of book ( so we can have peace and stablity)
3:64 Say, ˹O Prophet,˺ “O People of the Book! Let us come to common terms: that we will worship none but Allah, associate none with Him, nor take one another as lords instead of Allah.” But if they turn away, then say, “Bear witness that we have submitted ˹to Allah alone˺.”
Now since you ask I will share couple of you tube links which will explain context behind this verse ; but there are also multiple interpretations (but its not the one you are trying to claim here , because it will go against other verses in the Quran and God is Just and Merciful)
https://quran.com/9:29/tafsirs/en-tafsir-maarif-ul-quran
https://www.youtube.com/watch?v=PbjKjSeNIK8
https://www.youtube.com/watch?v=iYeVuMEtvoU
My understanding which is different to the above two links is that these verse were specifically for that time period since Muhammad PBUH explained to whole Arabia what is a monotheist religion is who that God is ; than those who do not accept Islam (Pagan) are asked to leave Arabia ( verse 28) but then there are those who are not Pagan in the land , Quran is asking for them to stay in the land but pay Jizya
Quran is for whole humanity and not Muslims, its for every one who accept to believe and if one does not it can reject it and that is God given right to every one ( but than one should have a good enough reason for it on day of Judgement)