An impact wrench is a socket wrench power tool designed to deliver high torque output with minimal exertion by the user, by storing energy in a rotating mass, then delivering it suddenly to the output shaft. It was invented by Robert H. How does an impact wrench work? Impact wrenches give out a high rotational torque with an internal hammering that transfers kinetic energy to the output shaft. Of course, the high output torque needs to be adjusted to the correct level so the energy output is accurately delivered to the lug, nut, or screw.