How should the photon sync the time with the cloud

Photon synchronizes its internal RTC on the startup, when connecting to cloud. It takes a while, so you may want to wait for it. There is nice thread discussing how to do it. But you have to set the timezone by yourself, if I am not mistaken.

Also having a backup battery on VBAT pin lets Photon keep its RTC running when powered off. If you search for VBAT there are lenghty discussions about it, but somewhat confusing. Not having it would just have you wait for sync each time you power up your Photon. (note though, Core has no VBAT pin, if you by any chance have Spark Core too)