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Not positive, but I think it is based on the local time you are currently located in.
It is based on where you physically am.
I concur - when I travel to the East Coast to visit family, with my California area coded phone, my calls (incoming and outgoing) are based on the LOCAL time.
If I call someone "back home" from NY to CA at 10 PM NY time, I will be using night minutes; they will be charged peak minutes.
Yep, always based on local time, time zone of the telephone number is irrelevant.