Army representatives joined SKDC elected members and arts centre staff to launch the initiative as part of Armed Forces Week (20-25 June)
The discount card, available from SKDC, is open to service personnel and their families living in the district, including reservists, veterans and widows or widowers.
Special offers will apply to shows and events promoted by SKDC, marked by an Armed Forces discount card logo.
Cllr Rosemary Trollope-Bellew, SKDC Cabinet member for Culture and Visitor Economy said: "We are keen to do all we can to support the military community in South Kesteven.
"Our arts centres deliver an amazing range of entertainment and we look forward to extending a special welcome to an extremely important part of our local community."
Major Guy Page, regimental second in command at Prince William of Gloucester Barracks in Grantham said; "We are very appreciative of the council's support to members of the Armed Forces and our veterans.
"We have a strong serving and veteran community across the district and I know that they will make good use of this warm welcome to the council's arts centre."
SKDC's Armed Forces Discount card offers businesses, retailers and visitor businesses access to a new audience of customers from the significant military community in South Kesteven - and an opportunity to show their support with flexible discounts and special offers.
It works alongside the national scheme and seeks to support stronger communities by encouraging people to buy local. Members of the military community can apply through www.southkesteven.gov.uk
Any business wanting to show their support for the Armed Forces by joining the scheme and offering a discount on goods and services can contact SKDC on firstname.lastname@example.org
- SKDC Deputy Leader Cllr Adam Stokes with (from left) Sgt Tony Liebenhals, Cllr Dean Ward, Guildhall Manager Jade Porter and Major Guy Page