Config Option -- Permanently Delete Files On Remote Removal

I am new to rclone and am setting up a Backblaze B2 remote.

I’m trying to understand the configuration prompt “Permanently delete files on remote removal, otherwise hide files.” Is this speaking about what happens on the remote side if I delete a file on the source side or if a file on the remote side is deleted independent of a change on the source side.

This covers any sort of file deletion on b2. It is about enabling or disabling file versions.