Let me provide a little bit of background that might help.
When a user accesses resources across a trust, the user's access token is passed to the target server they are accessing on the other side of the trust, yes there are a few additional steps that are completed by Kerberos, so yes this is a simplification but we are only interested in the user access token for this conversation. The user's access token is made up of SIDs, claims, and rights, these define what resources and rights the user has. The list of SIDs should only contain SIDs from the source domain and are used to provide access to resources in the target domain.
An exploit was identified that if you were to craft your access token to include SIDs from the target domain, it was possible that a bad actor could access resources that they were not granted access to. To help prevent this SID filtering was introduced, in simple terms with this option is enabled when accessing resources across the trust the target server would remove or ignore all the target SIDs in the presented access token. By enabling SID filtering you are enabling the removal of target SID from the access token. However these are not the only SID that get removed, a number of in-built or well-known SIDs are also removed, these are listed in the previous article I shared. These SIDs have the same SID in both the source and target domains, by removing these possible elevated permissions, permissions from one domain are not inherited in the target domain. Requiring specific permissions to be assigned to allow access to resource controlled by these well-known SIDs.
Due to a number of factors in the way authentication works in Windows, users in the source domain could access resources in the target domain, as they can see or access resources that are permissioned with everyone and authenticated user groups. To help prevent this and provide another layer of control what users can access, Selective Authentication was introduction. When Selective Authentication is enabled, the user must be assigned specific permissions on the target server to allow the user to access the resources on the server, if the user is not granted this permission, the user will not be able to access the resources on the server, even if they have permissions to access the resources.
That's teh background, so back to your question, the main problem is here is that the naming of the attributes in the TDO can cause confusion. While they are both called SID filtering, they achieve the out come in complete different ways.
I hope that helps.
Gary.