This paper summarizes the underlying theory in the recently developed KiteAeroDyn (KiteAD) module, which is part of KiteFAST (KiteFAST), a numerical simulation tool that is currently being developed at the NREL. KiteFAST is intended for the simulation of airborne wind energy systems (e.g., energy kites). KiteAD implements an innovative vortex step method for the calculation of aerodynamic loads on all of the lifting surfaces of the kite, which is capable of accounting for two-dimensional viscous effects through the use of nonlinear airfoil polars. Considering nonlinear airfoil polar data allows for the modeling of flap or other moving-surface deflections, as well as for the modelling of inflow conditions with larger angles angles of attack. From preliminary verification against other existing codes that can solve for lift distribution on lifting surfaces, the results of the newly implemented method proved to be numerically robust and computationally inexpensive, thus ideal for aeroelastic design and analysis applications.