There's a trick to it. Check out this video where they explain it
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Essentially, you import the STL and select it, go to the Part Workbench, Part/Create shape from mesh, then Part/Create a copy/Refine shape, then Part/Convert to solid. Once this is done, you can delete all the mods you have done before the convert to solid step and you're ready to work with it. You can add, subtract and do plane slices to it without any problem. I now use the beta of version 0.21 and it just works flawless.
Formatting tweaked in Xylo's post above.
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If you wish to embed a Youtube or similar link in a post here on Photrio, the formatting works far better if the link is both preceded and followed by a blank line.
You can do pretty much anything with them after that.
But I'll admit that if I hadn't seen the video, I wouldn't have figured it out.
Before I used to edit the STL's in Microsoft 3D, but that was just a pain.