I think that there’s enough potential for variation among humans, and enough of us in the world, that pretty much any time you ask “are there not people who…”, the answer will almost always be “yes, there are some”.
I know male-bodied people who like to wear dresses/skirts/makeup, just because they like the way it looks and not for sexual purposes. Often they identify as nonbinary or genderqueer, but some consider themselves guys who happen to have that taste in clothing. But those folks aren’t trying to “dress up as women”, they’re just people wearing clothes that aren’t generally worn by people with their genital configuration.
Drag queens would be another example of this, and more accurate to your question.
Since you bring up the military, I will give you the military’s definition:
"A Service member who has received a medical diagnosis indicating that gender transition is medically necessary, including any Service member who intends to begin transition, is undergoing transition, or has completed transition and is stable in the preferred gender.
DoD Instruction (DoDI) 1300.28, “In-Service Transition for Service Members Identifying as Transgender,” June 30, 2016
https://www.defense.gov/Portals/1/features/2016/0616_policy/DoD-Instruction-1300.28.pdf