You can twist, you can twist then file, and you can file. They all work. The all filed screws get you the best and/or most consistant theads. A friend even went so far as to make a tapered "threading die", but never got good results out of it.
In the video Gunsmith at Williamsburg, Walace Gussler is shown filing wood screws for the gun he is building. He forged a rounded taper on the end of a rod, clamped it in the vise, and then filed in his threads. He then cut off the screw from the rod and finished the head. It's much easier to file those threads when you have a good "handle" on it to hold it in the vise. It's only a few seconds in the video, but check it out if you get a chance. Mr. Gussler does a lot of "forging" in the video, besides all the filing, scraping, sanding, drilling, etc.
Just my humble thoughts to share. Take them as such.
Mike Ameling