This is a common misunderstanding. Proxies do not have entitlement to vote. Sch 1 clause 23 talks about who is entitlement to vote. Proxies are entitlement to cast the vote of the person with entitlement to vote (if the person with the entitlement is financial). It isn’t semantics.
This isn’t semantics either:
Schedule 1, 25 Rights of proxies and limits on votes by proxies
(7) Limits on exercise of proxy by building manager, on-site residential property manager or strata managing agent
A vote by a proxy who is a building manager, an on-site residential property manager or a strata managing agent is invalid if it would obtain or assist in obtaining a pecuniary interest for, or confer or assist in conferring any other material benefit on, the proxy.
Also, it would help us to understand your argument if you could differentiate between proxy holders, proxy votes and proxy providers. Referring to them all as “proxies” is pretty confusing.