The answer to this question is Yes, you can definitely drill holes with an impact driver. You can make small holes in light gauge steel and softwood with an impact driver by using a standard hex-shank drill. But if you want to make holes larger than ¼ inch in heavy steel or pressure-treated lumber you are required a bit rated specifically for an impact driver. This brings us to another question should we drill holes with an impact driver?
Well, it completely depends upon how precise your holes need to be. For an example in case of rough construction needs, such as boring a hole to pass a wire through it then it is completely fine to go ahead with the impact driver. But for precise hole size and roundness are very important. In that case, you completely need to stick to the drill and regular drill. From this, it can be inferred that for some precise hole impact driver is not ideal.
An impact driver can be used for drilling wood, plastic or even harder material such as steel. However, the restricted choice of hexagonal shank drill bits and the speed that is available makes it a poor choice when it is compared to a regular cordless drill. In that case, you need special bits for an impact driver. A special hex shank impact-rated bits is required for drilling and driving screws using an impact driver. Hence it can be said that impact drivers can be used to make a hole but it depends on its size.