If the master uses MySQL 4.1, the same system time zone should be set for both master and slave. Otherwise some statements will not be replicated properly, such as statements that use the NOW() or FROM_UNIXTIME() functions. You can set the time zone in which MySQL server runs by using the --timezone=timezone_name option of the mysqld_safe script or by setting the TZ environment variable. Both master and slave should also have the same default connection time zone setting; that is, the --default-time-zone parameter should have the same value for both master and slave. Note that this is not necessary when the master is MySQL 5.0 or later.

CONVERT_TZ(...,...,@@session.time_zone) is properly replicated only if both master and slave are running MySQL 5.0.4 or newer.