An impact tool includes a housing having a motor housing portion and an impact housing portion, an electric motor supported in the motor housing, a battery pack supported by the housing for providing power to the motor; and a drive assembly supported by the impact housing portion. The drive assembly includes an anvil extending from the impact housing portion, a hammer that is both rotationally and axially movable relative to the anvil for imparting consecutive rotational impacts upon the anvil, and a spring for biasing the hammer in an axial direction toward the anvil. The impact tool further includes a boot covering the impact housing portion, a front retainer arranged on the boot, a plurality of lenses in the front retainer, a plurality of LEDs respectively arranged within one of the lenses, and a rear retainer arranged between the boot and the impact housing portion.