Preheat the oven to 400°F (200°C). Line a baking sheet with parchment paper or lightly grease it.
Place each chicken breast between sheets of plastic wrap and pound with a meat mallet or rolling pin until about 1/4-inch thick.
Brush or drizzle the olive oil over both sides of the flattened chicken. Sprinkle evenly with the Italian seasoning and season with salt and pepper; rub to coat.
In a shallow bowl, whisk together the milk and egg and season with a pinch of salt and pepper.
In a second shallow bowl, combine the bread crumbs, garlic powder, paprika, and grated Parmesan.
Dredge each chicken breast first in the egg mixture, letting excess drip off, then press into the breadcrumb mixture to fully coat on both sides.
Place the breaded cutlets on the prepared baking sheet with space between them. Bake for 15 minutes, flip each cutlet, then bake an additional 5 minutes or until golden brown and cooked through (internal temperature 165°F / 74°C).
Remove from the oven, garnish with chopped parsley, and serve.