It is known that the Dirac delta function scales as follows:$$\delta(kx)=\frac{1}{|k|}\delta(x)$$ I have studied the proof for it, considering Dirac delta function as a limit of the sequence of zero-centred normal distributions (as given here).
However, when intuitively thought about it, this does not seem correct. Since $\delta(x)$ is zero everywhere except at $x=0$, $\delta(kx)$ should also be zero for any non-zero value of $x$ (given $k\in R-\{0\}$). Also for $x=0, kx=0$, and, thus, $\delta(kx)=\delta(x)$.
From the above logic it is evident that the scaling property should be the following.$$\delta(kx)=\delta(x)\forall x\in R, k\neq 0$$ However, as we know this is not true, can you point out where I am going wrong in thinking like this. Please note that I do not require some other kind of proof (until necessary), just a flaw in this kind of thinking.
Since $\delta$ is a distribution, you need to phrase everything in that language. You can't just go around evaluating it. If you're viewing $\delta(x)"="\infty$ at $x=0$, then of course you cannot distinguish between $\delta(0),$ $|k|\delta(0),$ etc. This is the reason that you're having trouble with intuition. First, I'll give a more formal explanation to the general reader, then I'll address "intuition" a little bit more.
Observe that for any $\varphi\in C_c^\infty$ and $f\in L^1_{loc}$, $$\int\limits_{-\infty}^\infty f(kx)\varphi(x)\, dx=\begin{cases}\frac{1}{k}\int\limits_{-\infty}^\infty f(y)\varphi(y/k)\, dy && k>0\\ \frac{1}{k}\int\limits_{\infty}^{-\infty} f(y)\varphi(y/k)\, dy && k<0 \end{cases}$$ That is,
$$\int\limits_{-\infty}^\infty f(kx)\varphi(x)\, dx=\frac{1}{|k|}\int\limits_{-\infty}^\infty f(y)\varphi(y/k)\, dy.$$ This motivates the definition for general distributions, such as the Dirac delta. Alternatively, check out a dense subspace and extend by density.
If you want something less rigorous, see e.g. https://proofwiki.org/wiki/Scaling_Property_of_Dirac_Delta_Function
The Dirac delta will not follow standard intuition due to the fact that it's not a "simple" object, like a function from $\mathbb{R}$ to $\mathbb{R}$. For this reason, I'd argue that a derivation like this, or the one that you linked, give the desired intuition. It probably makes the most sense to think about it from the perspective of a regularizing sequence like you linked and observing the property from there. This gets much more at how $\delta$ behaves.