Does that work in the transition between DST and non-DST time? The reason for that code is to get correct time stamps when a file is modified in non-DST time and the stat is run in DST time or vice versa. I think that code actually comes from some knowledge base article or Visual Studio sample or something, but I fail to find any KB article with that code snippet (there are however several about this bug, notably 158588, 129574, and 190315).
With this in mind I doubt that SystemTimeToTzSpecificLocalTime only does that simple calculation, at least on post-W9x system. Anyway, if the code is changed this DST-switching case must be tested.