Prepare the chicken coating: In a large bowl, combine the flour, baking powder, baking soda, salt, pepper, and garlic powder. Set aside.
Make the wet batter: In a separate bowl, whisk together the buttermilk, egg, and hot sauce. This will be the wet part of the coating for your chicken.
Coat the chicken: Dip each chicken breast first in the dry flour mixture, then in the buttermilk mixture, and again in the flour mixture to create a double layer of crispy coating.
Fry the chicken: Heat enough oil in a large skillet over medium-high heat until it reaches about 350°F (175°C). Carefully place the coated chicken breasts in the oil, frying them in batches for 4-5 minutes per side or until golden brown and cooked through. Ensure the internal temperature hits 165°F (75°C) for safe consumption.
Drain the chicken: Once fried, remove the chicken and place it on a paper towel-lined plate to drain excess oil. Set aside, leaving about 1/4 cup of the frying oil in the pan for the gravy.
Make the gravy: With the reserved oil in the pan, reduce the heat to medium and stir in the flour, whisking constantly for 2-3 minutes until the flour turns golden and starts to thicken. Gradually add the milk while whisking constantly until the mixture is smooth and well combined. Cook for an additional 5-7 minutes, until the gravy thickens. Season with salt and pepper to taste.
Serve: Plate the crispy chicken breasts and generously ladle the creamy gravy over the top. Serve with mashed potatoes or biscuits for the full Southern experience.