I’m having the same problem. My site is set as UTC. The Birthday plugin works and puts the right date in the widget. When editing, it says the right date. But in the public profile, it is one day earlier. (ex. July 10 is showing as July 9) Using latest version of Buddypress, BuddyPress Corporate 1.3.4 Theme, and WordPress 3.1.1.
Also, when requiring a date on registration, the date field acts as if it’s not filled out. Keeps showing red and saying “Required Field.” I was putting in a date of January 1, 1970.
I reinstalled the forums and then created more groups (my first group was private). Now it works fine. So I have no idea what to tell you. This is a completely fresh install I did about an hour before I posted I was having the problem.
Try adding more groups and putting in some test posts. That’s what fixed mine. (When I reinstalled, I was still having the same problem until I added more groups.)